Refer to Table 9.4. If the market price is $34 and the firm produces 4 units of output, then its profit would be

A) -$100.
B) -$88.
C) $0.
D) $36.

Question

Refer to Table 9.4. If the market price is $34 and the firm produces 4 units of output, then its profit would beA)  -$100.B)  -$88.C)  $0.D)  $36.

Kawater Alkhateri · Accepted Answer

Final Answer : B, Explanation :   Profit is calculated as total revenue minus total cost. With a market price of $34 and 4 units produced, total revenue is   34 × 4 = 136 34 	imes 4 = 136 34 × 4 = 136  . The total cost for 4 units is $224. Thus, profit is   136 − 224 = − 88 136 - 224 = -88 136 − 224 = − 88  .

Refer to Table 9.4. If the market price is $34 and the firm produces 4 units of output, then its profit would be

A) -$100.
B) -$88.
C) $0.
D) $36.

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