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.
-The maximum profit the firm can earn is _____________.
A) $4,800 per week.
B) $3,000 per week.
C) $2,400 per week.
D) $1,800 per week.
E) -$1,800 per week.
Correct Answer:

Verified
Correct Answer:
Verified
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