Post Utme Oau 2017 Economics Question 36

Practice objective / multiple choice question 36 from the 2017 Post Utme Oau Economics examination.

Post Utme Oau 2017 Economics Objective / Multiple Choice
Question 36 POST_UTME_OAU • 2017 • ECONOMICS • objective

Consider a firm operating in a perfectly competitive market with a downward-sloping demand curve. If the firm's marginal revenue (MR) is greater than its marginal \cost (MC), what will be the effect on the firm's output?

Answer Options

Correct Answer A. The firm will increase its output.
B. The firm will decrease its output.
C. The firm's output will remain unchanged.
D. The firm will exit the market.
Correct Answer
A
Correct Option:
The firm will increase its output.

About This Question

This is Post Utme Oau 2017 Economics Question 36. It is one of the objective questions from the 2017 Post Utme Oau Economics examination.

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