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    Marginal Revenue and Marginal Cost Relationship

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    If a firm finds out that its MR is greater than its MC, it should:
    a) increase production and sales
    B0 decrease production and sales
    c) encourage the entry of other firms into the market
    d) keep raising its selling price until MR =MC.
    E) change nothing because profits are maximized.

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    https://brainmass.com/economics/microeconomics/marginal-revenue-marginal-cost-relationship-20321

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    If a firm finds out that its MR is greater than its MC, it should:
    a) increase production and sales
    B0 decrease production and sales
    c) encourage the entry of other firms into ...

    Solution Summary

    Answers a multiple choice question on Marginal Revenue and Marginal Cost.

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