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From the diagram, determine the profit-maximizing output



From the diagram, determine the profit-maximizing output
Take Free Practice Test On 2026 JAMB UTME, Post UTME, WAEC SSCE, GCE, NECO SSCE
  • A 600
  • B 800
  • C 900
  • D 1000
Correct Answer: Option C
Explanation:
The profit – maximizing output level is 900 because at this, output level MC = MR. The marginal cost curve is tangential to the marginal revenue line which shows the price maximizing level output.

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