Business, 10.05.2021 20:40 mixcolin0002
State whether true or false and briefly explain why: If a business owner is delighted to accept additional orders at the current price, he or she cannot have been a profit-maximizing, perfectly competitive producer. A profit-maximizing, perfectly competitive firm would have been producing such that the multiple choice P > MC, so producing more would mean that the marginal cost increases to match the market price; so this is false. P = AC, so producing more would mean that the average cost would exceed the price reducing profits; so this is true. P = MC, so producing more would mean that the marginal cost would exceed the price reducing profits; so this is true. MR < MC, so producing more would mean that the marginal cost increases to match the market price; so this is false.
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State whether true or false and briefly explain why:
If a business owner is delighted to accept ad...
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