14If a perfectly competitive firm wants to make any sales, what is the basis for pricing its goods?A OAverage variable costBOPrevailing market priceMarket penetration priceDODesired marginal revenue 16 Fabulous Farms operates in a perfectly competitive market. Which of the following is required for FabulousFarms to both maximize profits and achieve allocative efficiency?AP = MCBP> MCCOP< MCDOР- MC - MR

14. If a perfectly competitive firm wants to make any sales,the basis for pricing its goods would be…

14 If a perfectly competitive firm wants to make any sales, what is the basis for pricing its goods? A Average variable cost BO Prevailing market price Market penetration price DO Desired marginal revenue

14 If a perfectly competitive firm wants to make any sales, what is the basis for pricing its goods? A Average variable cost BO Prevailing market price Market penetration price DO Desired marginal revenue

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter8: Perfect Competition

Section: Chapter Questions

Problem 1SCQ: Firms ill a perfectly competitive market are said to be price takers that is, once the market...

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Question

14
If a perfectly competitive firm wants to make any sales, what is the basis for pricing its goods?
A O
Average variable cost
BO
Prevailing market price
Market penetration price
DO
Desired marginal revenue

16 Fabulous Farms operates in a perfectly competitive market. Which of the following is required for Fabulous
Farms to both maximize profits and achieve allocative efficiency?
A
P = MC
B
P> MC
CO
P< MC
DO
Р- MC - MR

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