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mariarad [96]
2 years ago
10

In the short run, a perfectly competitive firm will maximize profits (minimize losses) by producing the level of quantity at whi

ch
Business
1 answer:
Elena L [17]2 years ago
8 0

Marginal revenue is equal to marginal cost.

A perfectly competitive firm will maximize profits (minimize losses) by producing the level of quantity.

The profit maximize firms will occur at a level of quantity where marginal revenue equals to the marginal cost. It can also maximize its profit when its total cost curve intersects curve. Economic profit is the difference between the total revenues and economic costs.

Perfectly competitive firms are called the price taker firm to maintain and maximize profits. It definitely raise the prize for its profit otherwise it losses all its production in terms of sales. It is generally an atomic market condition intensively depending on ideal price.

To learn more about perfect competition here,

brainly.com/question/28081306

#SPJ4

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