Both a perfectly competitive firm and a monopolist: a. always ...

[WWatsford]

Both a perfectly competitive firm and a monopolist:
 a. always earn an economic profit.
  b. maximize profit by setting marginal cost equal to marginal revenue.
  c. maximize profit by setting marginal cost equal to average total cost.
  d. are price takers.

Question 2

Total utility is maximized in the consumption of two goods by equating the:
 a. prices of both goods for the last dollar spent on each good.
  b. marginal utilities of both goods for the last dollar spent on each good.
  c. ratios of marginal utility to the price of both goods for the last dollar spent on each good.
  d. marginal utility of one good to the price of the other.

[angrybirds13579]

Answer to Question 1

b

Answer to Question 2

c

[WWatsford]

Thanks for the timely response, appreciate it

[kthug]

Excellent