Author Question: In order to maximize profits A) the derivative of total revenue with respect to quantity must be ... (Read 42 times)

newbem · **on:** Jun 30, 2018

In order to maximize profits
A) the derivative of total revenue with respect to quantity must be less than the derivative of total cost with respect to quantity.
B) the derivative of total revenue with respect to quantity must be greater than the derivative of total cost with respect to quantity.
C) the derivative of total revenue with respect to quantity must equal the derivative of total cost with respect to quantity.
D) none of these choices.

Question 2

The kinked demand curve is based on the idea that
A) you will follow my price increase but not my price cut.
B) you will follow my price cut but not my price increase.
C) you will follow all price changes I might initiate.
D) you will not follow my behavior at all.