2.) Production, Inputs, and Cost: Building Blocks for Supply Analysis Total profit is the net earnings of the firm durin
Posted: Thu May 19, 2022 10:04 am
2.) Production, Inputs, and Cost: Building Blocks for Supply Analysis
Total profit is the net earnings of the firm during a period of time. Marginal profit is the addition to total profit resulting from one more unit of output. Total revenue is the total amount of money the firm receives from the consumers of its goods, without any deduction of costs. Marginal revenue is the addition to total revenue resulting from the addition of one unit to output. First, expand on these descriptions to completely describe their impact on the firm. Then, describe fixed cost and the profit-maximizing price. Lastly, give one example of the profit-maximizing firm from a recent news article.
Total profit is the net earnings of the firm during a period of time. Marginal profit is the addition to total profit resulting from one more unit of output. Total revenue is the total amount of money the firm receives from the consumers of its goods, without any deduction of costs. Marginal revenue is the addition to total revenue resulting from the addition of one unit to output. First, expand on these descriptions to completely describe their impact on the firm. Then, describe fixed cost and the profit-maximizing price. Lastly, give one example of the profit-maximizing firm from a recent news article.