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Business, 01.07.2020 15:01 SoyAmbia

GoldMiner has benefited from a record rise in gold prices in the global commodities market. While the price of its output is highly influenced by market speculation, if it wants to increase production to take advantage of the current profit-maximizing opportunity, the company:. I. must accept market price for its physical capital inputs.
II. must reduce what it pays for inputs that make up its costs of production.
III. must reduce production to encourage speculators to drive gold prices higher.
Iv. must alter the price of its labor inputs to maximize profits.
If a perfectly competitive firm is a price taker, then:.
I. pressure from competing firms will force acceptance of the prevailing market price.
II. it must be a relatively small player compared to its competitors in the overall market.
III. it can increase or decrease its output without affecting overall quantity supplied in the market.
IV. quality differences will be very perceptible and will play a major role in purchasers' decisions.
When a monopolist increases sales by one unit,:.
I. it gains some marginal revenue from selling that extra unit.
II. more low priced sales cause negative marginal revenues.
III. every other unit must now be sold at a lower price.
IV. it loses some marginal revenue and all of the above.
The typical pattern of costs for a monopoly can be analyzed by using:.
I) total cost
II) fixed cost
III) variable cost
IV) marginal cost
V) average cost
VI) average variable cost
I, II, and III
I, III and IV
I, II, III, IV, and VI
all of the abov

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