Which of the following statements best describe the price, ...

[Wadzanai]

Which of the following statements best describe the price, output, and profit conditions of monopoly?
 a. Price will equal marginal cost at the profit-maximizing level of output and profits will be positive in the long-run.
  b. Price will always equal average variable cost in the short-run and either profits or losses may result in the long run.
  c. In the long-run, positive economic profit will be earned.
  d. All of these are true.

Question 2

Suppose a consumer is spending his or her entire budget. In order to obtain the most satisfaction from his or her purchases, all goods should:
 a. provide the same marginal utility per dollar.
  b. be consumed in equal quantities.
  c. have identical marginal utilities.
  d. give the consumer matching amounts of total utility.

[jaygar71]

Answer to Question 1

c

Answer to Question 2

a

[Wadzanai]

Gracias!

[Joy Chen]

Thanks for the timely response, appreciate it