In perfect competition,the profit-maximizing volume is the quantity at which ________.
A) marginal cost equals price
B) contribution margin equals fixed cost
C) marginal revenue equals price
D) price exceeds marginal cost

Question

Quizplus · Accepted Answer

In perfect competition, firms maximize profit by producing the quantity where marginal cost equals price, as price is equal to marginal revenue in this market structure.

In Perfect Competition,the Profit-Maximizing Volume Is the Quantity at Which