Figure 9.1 shows the cost structure of a firm in a perfectly competitive market. If the market price is $40 and the fir s currently producing the profit maximizing output level, the firm's profit is: O A. $7,200. O B. $9,000. OC. $27,000. $36.000

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Author:Steven A. Greenlaw; David Shapiro
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Chapter8: Perfect Competition
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Problem 18RQ: What two rules does a perfectly competitive firm apply to determine its profit-maximizing quantity...
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fast please 37.

O A. $7,200.
B. $9,000.
$
O C. $27,000.
O D. $36,000.
40
30
22
18
MC
ATC
AVC
K
500 650 900
Figure 9.1
Figure 9.1 shows the cost structure of a firm in a perfectly competitive market. If the market price is $40 and the firm
is currently producing the profit maximizing output level, the firm's profit is:
1200
Transcribed Image Text:O A. $7,200. B. $9,000. $ O C. $27,000. O D. $36,000. 40 30 22 18 MC ATC AVC K 500 650 900 Figure 9.1 Figure 9.1 shows the cost structure of a firm in a perfectly competitive market. If the market price is $40 and the firm is currently producing the profit maximizing output level, the firm's profit is: 1200
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