A Profit-Maximizing Firm Finds That Its Marginal Costs Have Risen

Multiple Choice

A profit-maximizing firm finds that its marginal costs have risen by $10 per unit.In response to the increase in costs it will change its price and it will experience:

A) an increase in its total revenue.
B) a decrease in its total revenue.
C) no change in its total revenue.
D) It is not possible to predict the impact of the change on total revenue.