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A producer producer of put at …

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A producer producer of put at which (a) TR - TC is maximum end (b) mc>mr this level of output Is the given miximising profit? use diagram

    • Posted by Pardeep Kumar 6 years, 10 months ago

    CBSE > Class 12 > Economics
    • 2 answers

    Abhishek Thakur 6 years, 10 months ago

    Yes There are two conditions to be in Equilibrium 1. MC= MR 2. MC> MR after Equilibrium In the above case both conditions are satisfied. so, that producer earn maximum profit because distance between TR and TC i.e. profit is maximum

    0Thank You

    Tanisha Garg 6 years, 10 months ago

    No, because additional cost is greater than additional revenue.Producer will strike his equilibrium where mc = mr and mc is rising

    1Thank You

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