Refer to the information provided in Figure 9.2 below to answer ...

[jman1234]

Question 1

Refer to the information provided in Figure 9.2 below to answer the question(s) that follow.









Refer to Figure 9.2. If 
MR = $9, then a profit-maximizing firm will produce ________ units and earn ________.

◦ 15; positive profits
◦ 9; positive profits
◦ 12; negative profits
◦ 13; exactly a normal return

Question 2

Refer to the information provided in Figure 9.2 below to answer the question(s) that follow.









Refer to Figure 9.2. If 
MR = $9, then in the long run

◦ the firm will shut down.
◦ the firm will exit the industry.
◦ new firms will enter the industry and the current firms will expand production.
◦ None of these is correct.

[mfedorka]

Answer 1

15; positive profits

Answer 2

new firms will enter the industry and the current firms will expand production.

[jman1234]

Excellent

[mfedorka]

Great! Please up vote

[saliriagwu]

Question 1

Refer to the information provided in Figure 9.2 below to answer the question(s) that follow.









Refer to Figure 9.2. If 
MR = $5, then a profit-maximizing firm will produce ________ units and earn ________.

◦ 0; negative profits
◦ 5; zero profits
◦ 10; negative profits
◦ 12; positive profits

Question 2

Refer to the information provided in Figure 9.2 below to answer the question(s) that follow.









Refer to Figure 9.2. If 
MR = $5, then in the long run

◦ the firm will increase its price and output.
◦ the firm will exit the industry.
◦ new firms will enter the industry and the current firms will expand production.
◦ firms will increase their output so that their average fixed cost per unit falls.

[14vl19]

Answer 1

0; negative profits

Answer 2

the firm will exit the industry.