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If anice creamproducer knows the marginal cost of producing the fourth ice cream is $5, then the total cost ofproducing 4ice cream is A.$5. B.$1.

If anice creamproducer knows the marginal cost of producing the fourth ice cream is $5, then the total cost ofproducing 4ice cream is

A.$5.

B.$1.

C.The answer cannot be determined from the information provided.

D.$20.

If a monopolist is producing a quantity such that marginal cost is less than marginal revenue,then profit:

A.is maximized only if marginal cost equals price.

B.can be increased by increasing production.

C.can be increased by decreasing production.

D.is maximized.

If the prices of the two goods the consumer buys increase:

  1. A.the budget line shitfs to the right.
  2. B.the indifference curve shifts to the right.
  3. C.the budget line shifts closer to the origin.
  4. D.the budget line rotates to the right.

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