Choose the correct answer from the given multiple choices. a. Identif

1.	Choose the correct answer from the given multiple choices. a. Identify the equilibrium condition of a firm under perfect competition.1. AC=MR, & AC cuts MR from above. 2. MC=MR, & AC cuts MR from below. 3. AC=MR, & MC cuts MR from below. 4. MC=MR, &MC cuts MR from above. 5. MC=MR, & MC cuts MR from below.b. The demand for the product of a firm is perfectly elastic in one of the following markets. Identify the market. 1. monopoly 2. monopolistic competition 3. perfect competition 4. monopsony 5. oligopoly
Answer» a. 5 - MC=MR, & MC cuts MR from below. b. 3 - perfect competition

Choose the correct answer from the given multiple choices. a. Identify the equilibrium condition of a firm under perfect competition.1. AC=MR, & AC cuts MR from above. 2. MC=MR, & AC cuts MR from below. 3. AC=MR, & MC cuts MR from below. 4. MC=MR, &MC cuts MR from above. 5. MC=MR, & MC cuts MR from below.b. The demand for the product of a firm is perfectly elastic in one of the following markets. Identify the market. 1. monopoly 2. monopolistic competition 3. perfect competition 4. monopsony 5. oligopoly

Answer»

a. 5 - MC=MR, & MC cuts MR from below.

b. 3 - perfect competition