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Assume a perfectly competitive firm has the following revenue and cost functions TC= 11,250 + 10 Q + 0.02 Q^2 AVC= 10 + 0.02 Q

Assume a perfectly competitive firm has the following revenue and cost functions

TC= 11,250 + 10 Q + 0.02 Q^2

AVC= 10 + 0.02 Q

MC= 10 + 0.04 Q

TR= 40 Q

the level of output, Q, and price, P, that maximizes Profits, if any, for this firm is:

A) 750, $40

B) 750; $80

C) 40; $750

D) None of these

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