Question
When a firm is producing at the level of output that maximizes profit, which of the following is true?
a. Marginal revenue is positive.
b. Marginal revenue is equal to marginal cost.
c. Marginal cost is negative.
d. Marginal revenue is greater than marginal cost.
a. Marginal revenue is positive.
b. Marginal revenue is equal to marginal cost.
c. Marginal cost is negative.
d. Marginal revenue is greater than marginal cost.
Answers
Bot
b. Marginal revenue is equal to marginal cost.