Post Utme Elizade University 2025 Commerce Question 26

Practice objective / multiple choice question 26 from the 2025 Post Utme Elizade University Commerce examination.

Post Utme Elizade University 2025 Commerce Objective / Multiple Choice
Question 26 POST_UTME_ELIZADE_UNIVERSITY • 2025 • COMMERCE • objective

In a perfectly competitive market, the law of diminishing marginal utility implies that the marginal cost of production will always be greater than the marginal revenue. Which of the following is a correct statement regarding the relationship between marginal cost and marginal revenue in a perfectly competitive market?

Answer Options

Correct Answer A. Marginal cost is always greater than marginal revenue.
B. Marginal cost is always less than marginal revenue.
C. Marginal cost is equal to marginal revenue.
D. Marginal cost is less than or equal to marginal revenue.
Correct Answer
A
Correct Option:
Marginal cost is always greater than marginal revenue.

About This Question

This is Post Utme Elizade University 2025 Commerce Question 26. It is one of the objective questions from the 2025 Post Utme Elizade University Commerce examination.

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