Multiple Choice
Refer to the following:
A manger of a firm with market power faces the marginal revenue product and average revenue product curves shown below. The firm incurs weekly fixed costs of $1,800. The firm employs a single variable input, labor, which costs $600 per worker each week.
-In profit-maximizing (or loss-minimizing) equilibrium, the firm's total variable costs are
A) $12,000.
B) $6,000.
C) $600.
D) $400.
E) none of the above
Correct Answer:

Verified
Correct Answer:
Verified
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