Profits are maximized when marginal revenue and marginal costs are

Asked by admin @ 22/11/2021 in Social Studies viewed by 332 People

A producer’s profits are maximized when marginal costs are _____. less than marginal revenue resulting in decreasing marginal returns equal to fixed costs minus variable costs equal to marginal revenue

Answered by admin @ 22/11/2021

Answer:

are equal to marginal revenue.

Explanation:

Marignal cost is the additional cost that incurred by producing one extra product.

Marginal revenue is the additional profit that producer obtain by selling one extra product.

When marginal cost and marginal revenue are equal, it indicates that producing additional product does not give additional revenue any longer. At this point, the profit that the producer gets could not go any higher.

What is the relationship between marginal cost and marginal product

Asked by admin @ 22/11/2021 in Advanced Placement (AP) viewed by 455 persons

Explain the relationship between the marginal product curve and the marginal cost curve.

Marginal revenue is the latest addition made to the

Asked by admin @ 10/08/2021 in Economy viewed by 319 persons

Q3. Marginal revenue is the latest addition made to thea)average revenueb)Total productionc)Total revenued)none

Marginal revenue function

Asked by maham237 @ 09/01/2021 in Mathematics viewed by 285 persons

The marginal revenue function on sales of q units of a product is R'(q)=240-18√q dollars per unit.Estimate the total revenue if sales are 100 units. What is the marginal revenue …

Marginal resource cost refers to the

Asked by maham237 @ 06/01/2021 in Business viewed by 284 persons

g Marginal resource cost refers to the: A. increase in total cost resulting from the production of one more unit of output. B. amount by which a firm's total resource …

A profit maximizing firm employs resources to the point where

Asked by admin @ 09/11/2021 in Business viewed by 262 persons

A profit-maximizing firm will use more of a factor of production when: The extra cost of using an additional factor unit is less than the marginal revenue product of the …

What is the difference between marginal cost and marginal benefit

Asked by admin @ 31/10/2021 in Business viewed by 355 persons

How does the relationship between marginal cost and marginal benefit impact producers? It helps producers market their products to new customers. It means that producers make as much of their …

Which statement is true about cost volume profit cvp analysis

Asked by admin @ 29/10/2021 in Business viewed by 297 persons

Which one of the following statements is not true? A. Total fixed costs remain the same regardless of volume within the relevant range. B. Total variable costs change with volume. …

Marginal cost function

Asked by maham237 @ 09/01/2021 in Mathematics viewed by 326 persons

For the cost function, find the marginal cost at the given production level x. State the units of measurement. (All costs are in dollars.)C(x) = 15,000 + 70x + 1,000/x …

Difference between marginal revenue product and value of marginal product

Asked by admin @ 10/11/2021 in Business viewed by 345 persons

What is the difference between the marginal product of labor and the marginal revenue product of labor for a firm in a perfectly competitive market? A. The marginal revenue product …

Cost volume profit analysis is used primarily by management

Asked by admin @ 16/08/2021 in Accountancy viewed by 485 persons

Question: Cost-volume-profit analysis is used PRIMARILY by management:(A) O(B) Das a planning toolfor control purposes(c)(D)to prepare external financial statementsfor correct financial results