View the step-by-step solution to:

Business owners, managers, and aspiring entrepreneurs need to know the best form of business organization to select based on various considerations,

Business owners, managers, and aspiring entrepreneurs need to know the best form of business organization to select based on various considerations, including taxes, liability, capital contributions, sharing of profits and losses, management and control, and survivorship.

Task:

Write an essay (suggested length of 1-3 pages) that explains the relationship between marginal revenue and marginal cost, and the importance of these concepts for profit maximization in which you do the following:

A. Define marginal revenue.
1. Explain its relationship with total revenue.

B. Define marginal cost.
1. Explain its relationship with total cost.

C. Define profit.
1. Explain the concept of profit maximization.

D. Explain how a profit-maximizing firm determines its optimal level of output, using marginal revenue and marginal cost as criteria.

E. Explain what action a profit-maximizing firm takes if marginal revenue is greater than marginal cost.

F. Explain what action a profit-maximizing firm takes if marginal revenue is less than marginal cost.

G. Include all in-text citations and references in APA format.

Recently Asked Questions

Why Join Course Hero?

Course Hero has all the homework and study help you need to succeed! We’ve got course-specific notes, study guides, and practice tests along with expert tutors.

-

Educational Resources
  • -

    Study Documents

    Find the best study resources around, tagged to your specific courses. Share your own to gain free Course Hero access.

    Browse Documents
  • -

    Question & Answers

    Get one-on-one homework help from our expert tutors—available online 24/7. Ask your own questions or browse existing Q&A threads. Satisfaction guaranteed!

    Ask a Question