Post Utme Ksu 2025 Economics Question 21

Practice objective / multiple choice question 21 from the 2025 Post Utme Ksu Economics examination.

Post Utme Ksu 2025 Economics Objective / Multiple Choice

Question 21 POST_UTME_KSU • 2025 • ECONOMICS • objective

Consider a firm operating in a perfectly competitive market. If the firm's marginal revenue (MR) curve intersects its marginal \cost (MC) curve at point E, where MR = MC, and the price elasticity of demand (PED) is 2, what is the likely effect on the firm's output?

Correct Answer A. Increase output

B. Decrease output

C. No change in output

D. Uncertain effect on output

Correct Answer

Correct Option:

Increase output

This is Post Utme Ksu 2025 Economics Question 21. It is one of the objective questions from the 2025 Post Utme Ksu Economics examination.

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows

Chat with Support