Category: Profit Maximizing Under Perfect Competition And Monopoly

A. the additional profit the firms earns when it sells an additional unit of output
B. the difference between total revenue and total cost
C. The ratio of total revenue to quantity.
D. the added revenue that a firm takes in when it increases output by one additional unit.

A. approximately one-half
B. smaller than
C. larger than
D. approximately equal to

A. The franchiser’s fee that a restaurant must pay to the national restaurant chain
B. The payroll taxes that are paid on employee wages.
C. The monthly rent on office space that it leased for a year
D. The interest payments made on loans.

A. a colluding industry
B. a merged industry
C. a concentrated industry
D. a natural monopoly

A. maximized its total revenue
B. set price equal to its average cost
C. equated marginal revenue and marginal cost
D. maximized the difference between marginal revenue and marginal cost.

A. Dq/DTFC
B. TFC – q
C. TFC/q
D. q/TFC

A. an indifference curves.
B. an isoquant.
C. an isocost line
D. a production functions

A. normal profit is zero
B. total costs exceed total revenue
C. total costs exceed normal profit
D. the firm is earning are economic profit

A. slope up to the right
B. are U-shaped
C. slope down to the right
D. slope down to the right and then level off.

A. always equal to one.
B. half as steep as the demand curve
C. the same as the slope of the demand curve
D. twice as steep as the demand curve