For the question below, I don’t understand why clause 3 is true. When the firm is producing its last unit,
shouldn’t the marginal cost still vary since the two curves have different slopes?
For the following question, use the graph below.
i- – – -.
– – – -i- – – – – –
– – – – – — —
1000 1200 Quantity
(/16) The individual supply curves for Firm A and Firm B are shown in the above graph. If the
market price for the good is $5 per unit, which of the following would be TRUE?
Collectively, these two firms would produce 1,400 units.
Firm B will receive a greater amount of producer surplus than Firm A.
The marginal cost of the last unit produced will be the same for both Firm A and Firm B.
I and II only.
The marginal cost of the 200quot; unit produced will be greater for Firm A.than for Firm B.
b. II and IV only.
c. I and III only.
d. I, III, and IV only.
I, II, III, and IV.Microeconomics