Question
The biggest advantage of the two rules to detect the most profitable output level is that these rules tell us that A.There are always two
The biggest advantage of the two rules to detect the most profitable output level is that these rules tell us that
A.There are always two output levels at which marginal revenue is equal to marginal cost and we need to identify the correct profit-maximizing level of production by using these two rules.
B.When the two rules are satisfied we know that the maximum total profit cannot be negative.
C.In general, marginal revenue equal to marginal cost does not guarantee profit-maximization.
D.For a company with constant marginal cost, profit-maximization is impossible.
E.The maximization of total revenue or sales is what companies should pursue.
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