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Commerce · Q1075

Economics

Graduate and Post Graduate · Commerce · question 1075

Q1075

For profit maximisation of a firm following conditions should be fulfilled. 1. MC = MR. 2. Marginal cost curve cuts the average cost curve from below. Which of the above said condition(s) is/are correct?

A.
Only 1
B.
Only 2
C.
Both 1 and 2
Answer
D.
Neither 1 nor 2

Answer: Option C

Solution

Answer: Option C
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