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Please review my answer When a company produces a perishable good, such as yogurt, then the marginal cost equals marginal revenue principle has to be
Please review my answer
When a company produces a perishable good, such as yogurt, then the "marginal cost equals marginal revenue" principle has to be amended. True
MC=MR means that the company has reached maximum profitability. The rule does not apply to Perishable item as producing more yogurt does not mean that the demand will increase. Also, due to the nature of good, the demand does not go up and down significantly.
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