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If a Firm Produces and Sells Only One Unit of a Good

Question 59

Multiple Choice

If a firm produces and sells only one unit of a good, its profit would be equal to the:


A) market price of the good.
B) revenue from the item sold minus the cost of the resources used to produce the good.
C) difference between the interest paid by the firm on its outstanding loans and the rate of depreciation.
D) sum of the price of the good and the wages paid to labor.
E) product of the wages paid to labor and the market price of the good.

Correct Answer:

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