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Explain MR/MC approch

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Explain MR/MC approch

Posted by Nilendra Dev Singh Parihar 6 years, 9 months ago

CBSE > Class 11 > Economics

1 answers

Yaser Siddiquee 6 years, 9 months ago

According to this approach, the firm is said to be in equilibrium if the following conditions are fulfilled: 1.Marginal cost is equal to Marginal Revenue i.e. ( MC = MR ) 2.Marginal cost (MC) Cuts Marginal Revenue (MR) from Below. 3.Marginal cost (MC) Cuts Average Cost (AC) from the Minimum point.

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