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If a Firm's Managers Inappropriately Decide to Operate Where Total

Question 114

Multiple Choice

If a firm's managers inappropriately decide to operate where total revenue is maximized,they will continue to increase output


A) as long as marginal revenue exceeds marginal cost
B) as long as marginal cost exceeds marginal revenue
C) as long as the total revenue curve is above zero
D) as long as the marginal revenue curve is above the horizontal axis
E) until the total revenue curve intersects the total cost curve

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