Price MC 160 140 ATC 123.33 Demand 90 56.67 MR 100 133.33 154.92 Quantity Refer to Figure 16-10. The firm's maximum profit is Oa. $-7,000. Ob. $-5,000. Oc. S-2,000. Od. The firm's maximum profit cannot be determined from the figure.

Price MC 160 140 ATC 123.33 Demand 90 56.67 MR 100 133.33 154.92 Quantity Refer to Figure 16-10. The firm's maximum profit is Oa. $-7,000. Ob. $-5,000. Oc. S-2,000. Od. The firm's maximum profit cannot be determined from the figure.

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter10: Monopolistic Competition And Oligopoly

Section: Chapter Questions

Problem 9RQ: If the firms in a monopolistically competitive market are earning economic profits or losses in the...

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Question

Figure 16-10
The figure is drawn for a monopolistically-competitive firm.
Price
MC
160
140
ATC
123.33
Demand
90
56.67
MR
100
133.33 154.92
Quantity
Refer to Figure 16-10. The firm's maximum profit is
Oa. S-7,000.
Ob. S-5,000.
Oc. S-2,000.
Od. The firm's maximum profit cannot be determined from the figure.
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