Answered: 9. If market price is $20 and the firm…

9. If market price is $20 and the firm maximizes profit (minimizes loss), how much profit will the firm earn? $ $100 $1,200 540 140 540 120 O $1,200 O$4,800 -$6,000 4 130 150 MIC 180 212 240 370

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

9. If market price is $20 and the firm maximizes profit (minimizes loss), how much
profit will the firm earn?
$
$100
$1,200
580
140
540
120
O $1,200
O$4,800
-$6,000
4
130
150
MC
180
212
240
370
100

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Refer to Figure 8.1. The firm earns zero profit at what output? Consider the following diagram where a perfectly competitive firm faces a price of $40. O A. O. B. 34 and 79. OC. 54, O D. 67. E. 60. 44 40 31 30 20 10 4 10 20 30 40 50 34 Figure 8.1 60 70 67 79 MC AC AVC D 80 1 OUTPUT
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4
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