Explain why a firm maximizes its profits

Assignment Help Business Economics
Reference no: EM133083107

Explain why a firm maximizes its profits by producing the level of output at which marginal revenue equals marginal costs.

Reference no: EM133083107

Questions Cloud

How is this relevant to investors and consumers in australia : In the UK and the US there is a shortage of truck drivers that is affecting the supply chain. How is this relevant to investors and consumers in Australia?
Explain the managerial issues or challenges in planning : Explain the managerial issues or challenges in planning, developing, and implementing the EHR system. PLO3, GenED5
Calculate the equivalent variation : A consumer has the utility function U ( X , Y ) = MIN(3X, 5Y) and $143 to spend. The price of X = $3, and the price of Y = $1. Calculate the equivalent variatio
Computing the average variable cost : a) What happens to the average variable cost, when the quantity produced is equal to 2? Explain your answer in detail.
Explain why a firm maximizes its profits : Explain why a firm maximizes its profits by producing the level of output at which marginal revenue equals marginal costs.
Rationalize the performance of asset prices : Asset prices rose since April 2020 due to the resolution of the uncertainty related to the COVID-19 pandemic.
732A55 Neural Networks and Learning Systems Assignment : 732A55 Neural Networks and Learning Systems Assignment Help and Solution - Describe briefly the two steps that are iterated in the k-means clustering algorithm
Literature regarding the benefits of free trade : What is the current knowledge in the literature regarding the benefits of free trade?
What is so important about being formally recognized : Beyond simply being a full member of the UN, what would formal statehood give Palestine that it does not have with its current status? What is so important abou

Reviews

Write a Review

Business Economics Questions & Answers

  Economics assignment

This document contains various important questions and their appropriate answers in the subject field of Economics.

  Demand and supply curves

Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.

  Long-run perfectly competitive equilibrium for the firm

Evaluate Government intervene and correct this situation?(a) Explain the concept of a concentration ratio. A rise in the price of magarine Explain the impact of external costs and external benefits on resource allocation long-run perfectly c..

  Supply and demand diagrams

Explain each of the following using supply and demand diagrams,  With the use of a graph, explain how these two programs affect cigarette consumption and the price of cigarettes.

  Case study: fisher-price toys

The case study of the Fisher-Price Toys, Inc., a popular case in basic economics and management from the prestigious Harvard Business School.

  Draw the production possibility curve

Draw the production possibility curve and a. Define consumer surplus and producer surplus.

  Tax revenue

The Australian government administers two programs that affect the market for cigarettes

  Maximize total welfare

How many tickets to sell to maximize total welfare.

  Difference between the cv and the ev

The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it continues to be the most widely used measure of consumer welfare change. Explain how this can be reconciled

  Depict von neumann-morgenstern utility index u in a diagram

Depict the von Neumann-Morgenstern utility index u in a diagram

  What is the market solution

What is the market solution (market price and quantity) and What is the total surplus of the society under the market solution

  Calculate gross national product and net national product

Calculate gross national product and net national product

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd