How would you react to a sales managers

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Reference no: EM13259048

How would you react to a sales managers announcement that he or she has in place a When sales or total revenue is maximum, marginal revenue is zero. Since Marginal cost is usually positive, marginal cost exceeds marginal revenue and the firm Produces too much output to maximize total profit. Therefore, the marketing program of The firm should be scaled down until the marginal benefit of the program equals its Marginal cost.

Reference no: EM13259048

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