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The Figure Given Below Shows the Revenue and Cost Curves

Question 14

Multiple Choice

The figure given below shows the revenue and cost curves of a perfectly competitive firm.Figure 10.1
The figure given below shows the revenue and cost curves of a perfectly competitive firm.Figure 10.1    -At an output level above the profit-maximizing level, for a perfectly competitive firm, a reduction in output will: A) reduce total revenue more than total cost. B) reduce total cost more than total revenue. C) increase total revenue more than total cost. D) increase total cost more than total revenue. E) decrease total revenue and total cost by the same amount.
-At an output level above the profit-maximizing level, for a perfectly competitive firm, a reduction in output will:


A) reduce total revenue more than total cost.
B) reduce total cost more than total revenue.
C) increase total revenue more than total cost.
D) increase total cost more than total revenue.
E) decrease total revenue and total cost by the same amount.

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