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If for a Firm MRP > MFC, Then the Firm

Question 90

Multiple Choice

If for a firm MRP > MFC, then the firm


A) is maximizing profits and should continue producing its current output.
B) is minimizing factor costs and therefore is maximizing profits.
C) should produce more output by increasing the quantity of factors employed.
D) should produce less output by decreasing the quantity of factors employed.

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