Answer to Question #229560 in Economics for TILT

Question #229560

This question is based on the following diagram which shows the marginal cost and average total cost curves for a perfectly competitive firm.

If the market price is R10

  •  A. the firm is losing money in the short run
  •  B. the firm earns R10 profit on each unit sold
  •  C. the firm earns R8 profit on each unit sold
  •  D. marginal revenue equals R10
1
Expert's answer
2021-08-25T09:12:43-0400
  •  D. marginal revenue equals R10

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