The profit function (in dollars)for a company is given by P(x) = 120x – x², where x represents the units of items sold and x is between 0 and 100. Which - of the following statements is FALSE? O Profit first increases then decreases with an increase in the number of items sold. O When profit increases with an increase in x, it increases at a slower and slower rate. O Marginal profit decreases with an increase in the number of items sold. O Average profit decreases with an increase in the number of items sold. O Average profit is equal to the marginal profit.

The profit function (in dollars)for a company is given by P(x) = 120x – x², where x represents the units of items sold and x is between 0 and 100. Which - of the following statements is FALSE? O Profit first increases then decreases with an increase in the number of items sold. O When profit increases with an increase in x, it increases at a slower and slower rate. O Marginal profit decreases with an increase in the number of items sold. O Average profit decreases with an increase in the number of items sold. O Average profit is equal to the marginal profit.

Managerial Economics: A Problem Solving Approach

5th Edition

ISBN:9781337106665

Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Chapter5: Investment Decisions: Look Ahead And Reason Back

Section: Chapter Questions

Problem 4MC

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