If marginal costs are zero for the single-price profit-maximizing firm facing the demand curve above, what will profits be if fixed costs are $1,000?
a. $2,500
b. $0
c. $9,000
d. $1,500
e. None of the above
Answer: d. 1,500
If marginal costs are zero for the single-price profit-maximizing firm facing the demand curve above, what will profits be if fixed costs are $1,000?
a. $2,500
b. $0
c. $9,000
d. $1,500
e. None of the above
Answer: d. 1,500