Multiple Choice
Use the following to answer questions:
Figure: Profit Maximization for a Firm in Monopolistic Competition
-(Figure: Profit Maximization for a Firm in Monopolistic Competition) Look at the figure Profit Maximization for a Firm in Monopolistic Competition. Suppose that an innovation reduces a firm's costs from ATC to ATC'. Before the innovation reduced the cost, the firm's maximum economic profit was:
A) $0.
B) $30.
C) $750.
D) $4,500.
Correct Answer:

Verified
Correct Answer:
Verified
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