Does the firm generate profit or incurr loss at 5 units of output? 60
67
revenue of 8 units is Birr 5, what is the marginal revenue of the 8th unit)
Assume that the marginal cost of a competitive firm is given by
and the marginal Revenue of the firm is given by,
the firms profit maximization level of output.
MR = - 20.
Then find,
MC = 6Q? – 4Q - 12
a
b
Review

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