× Didn't find what you were looking for? Ask a question
Top Posters
Since Sunday
r
4
L
4
3
d
3
M
3
l
3
V
3
s
3
d
3
a
3
g
3
j
3
New Topic  
blazingferrai blazingferrai
wrote...
Posts: 333
Rep: 0 0
6 years ago
A firm is currently producing at the point where MC = MR. The situation for the firm at this point is P = $5, Q = 100, ATC = $6, AVC = $4.50. What do you recommend this firm do?
A) Increase production above the current output rate, because MC = MR at this rate of output.
B) Continue to produce the current output rate, because P > AVC.
C) Shut down, because AVC > P.
D) Shut down, because ATC > P.
Textbook 
Economics Today: The Micro View

Economics Today: The Micro View


Edition: 19th
Author:
Read 54 times
2 Replies

Related Topics

Replies
wrote...
6 years ago
 B
blazingferrai Author
wrote...
6 years ago
Electric Light Bulb Correct, thanks!
New Topic      
Explore
Post your homework questions and get free online help from our incredible volunteers
  1892 People Browsing
Related Images
  
 324
  
 1304
  
 354
Your Opinion
Who will win the 2024 president election?
Votes: 119
Closes: November 4