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If a Firm's Marginal Revenue Is Greater Than Its Marginal

Question 5

Multiple Choice

If a firm's marginal revenue is greater than its marginal cost,then:


A) each added unit of output will reduce profits.
B) the firm is maximizing profit.
C) more output will add more to revenue than to cost.
D) more output will add more to cost than to revenue.
E) less output will add more to revenue than to cost.

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