A Profit-Maximizing Monopolist That Produces in the Short Run Will

Multiple Choice

A profit-maximizing monopolist that produces in the short run will _____

A) choose the output level where marginal revenue exceeds marginal cost by the largest amount.
B) increase output as long as the marginal revenue exceeds the marginal cost of producing that unit.
C) choose the output level where average total cost is at its minimum.
D) increase price as long as average revenue exceeds average total cost.
E) choose the output level where average revenue exceeds average total cost by the largest amount.