The following diagram depicts firms in monopolistically competitive markets. MC $50 48 45 34 4 7 111 10 AC Blue Jeans per Month (in thousands) Demand Marginal Revenue Refer to Exhibit 14-4. If the blue jean firm maximizes profit, it will: A. earn $64,000 in profit this month. B. earn $30,000 in profit this month. C. earn zero profit in this month. D. earn $112,000 in profit this month.

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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Exhibit 14-4
The following diagram depicts firms in monopolistically competitive markets.
MC
$50
48
45
34
O
a
с
b
4 7 111
10
Refer to Exhibit 14-4. If the blue jean firm maximizes profit, it will:
A. earn $64,000 in profit this month.
B. earn $30,000 in profit this month.
C. earn zero profit in this month.
D. earn $112,000 in profit this month.
d
AC
Blue Jeans per Month
(in thousands)
Demand
Marginal Revenue
Transcribed Image Text:Exhibit 14-4 The following diagram depicts firms in monopolistically competitive markets. MC $50 48 45 34 O a с b 4 7 111 10 Refer to Exhibit 14-4. If the blue jean firm maximizes profit, it will: A. earn $64,000 in profit this month. B. earn $30,000 in profit this month. C. earn zero profit in this month. D. earn $112,000 in profit this month. d AC Blue Jeans per Month (in thousands) Demand Marginal Revenue
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