The following figure shows the marginal cost curve,average total cost curve,average variable cost curve,and marginal revenue curve for a firm for different levels of output.
Figure 9-3
-Refer to Figure 9-3.At the output level OB,total profits equal the area given by _____.
A)FTDE
B)GMLR
C)FHSR
D)FBOR

Question

The following figure shows the marginal cost curve,average total cost curve,average variable cost curve,and marginal revenue curve for a firm for different levels of output.
Figure 9-3 
-Refer to Figure 9-3.At the output level OB,total profits equal the area given by _____.
A)FTDE 
B)GMLR 
C)FHSR 
D)FBOR

Quizplus · Accepted Answer

At output level OB, total profits are represented by the area between the total revenue and total cost curves, which is the area FHSR.

The Following Figure Shows the Marginal Cost Curve,average Total Cost