× 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 55 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
  1381 People Browsing
Related Images
  
 1681
  
 51
  
 324
Your Opinion
What percentage of nature vs. nurture dictates human intelligence?
Votes: 436

Previous poll results: How often do you eat-out per week?