Question

In: Economics

1. “In perfect competition, firm’s demand curve is:” * Perfectly Elastic (horizontal) Perfectly Inelastic (vertical) Unit...

1. “In perfect competition, firm’s demand curve is:” *

Perfectly Elastic (horizontal)

Perfectly Inelastic (vertical)

Unit Elastic.

Inelastic.

2. The profit-maximizing level of output is determined graphically by: *

The intersection point between MC&AVC.

The intersection point between MC&ATC.

The intersection point between MC&MR.

The intersection point between MC&AFC.

3.In perfect competition, the profit or loss is determined through: *

(P-ATC)*Q.

(P-AVC)*Q.

(P-Q)*ATC.

(ATC-Q)*P.

4. For a perfectly competitive firm, the supply curve is the MC curve above: *

Minimum ATC.

Minimum AVC.

Minimum AFC.

MC=MR.

5.“In perfect competition, a firm’s marginal revenue equal to its:” *

Price.

Total revenue.

Average revenue.

Supply curve.

Expert Solution

Rahul Sunny answered 2 years ago

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