When a firm is maximizing profit, it will necessarily be
A)maximizing profit per unit of output.
B)maximizing the difference between total revenue and total cost.
C)minimizing total cost.
D)maximizing total revenue.

Question

Quizplus · Accepted Answer

Profit maximization occurs when a firm maximizes the difference between total revenue and total cost, which is the definition of profit.

When a Firm Is Maximizing Profit, It Will Necessarily Be