If the marginal cost of a perfectly competitive firm producing a ...

[saraeharris]

If the marginal cost of a perfectly competitive firm producing a good is 50 and the market price of the good is 100, the firm should:
 
  A) decrease its output.
  B) increase its output.
  C) try to increase the market price.
  D) try to decrease the market price.

Question 2

Refer to the scenario above. If Maria's opportunity cost of time increases to 80 per hour, the cost involved in taking the train is:
 
  A) 320.
  B) 720.
  C) 800.
  D) 970.

[chreslie]

Answer to Question 1

B

Answer to Question 2

B