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serious [3.7K]
3 years ago
10

If mara’s puzzle factory is operating at a quantity in which the marginal revenue from the last puzzle produced is $20, marginal

cost is $15, and average total cost is $10. what should mara do to maximize profits?
Business
1 answer:
soldier1979 [14.2K]3 years ago
7 0
The condition for a profit maximising point is where MR = MC.

When MR is greater than MC, the firm should increase production to take hold of the extra profit, therefore Mara should increase production.
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