Asked by Aqualaquisha Lebron on May 04, 2024

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Refer to Figure 15.1. If Dom's maximizes profits, its ________ equals $320.

A) total cost
B) total revenue
C) profit
D) variable cost

Total Revenue

The overall amount of money generated by a firm from its business activities, calculated by multiplying the selling price by the number of units sold.

Maximizes Profits

The process of achieving the highest possible profit margins by optimizing operational and strategic decisions.

  • Become adept at discerning and reckoning profit, total earning, and aggregate expenditure for business entities in monopolistically competitive fields.
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Avery SemlerMay 08, 2024
Final Answer :
B
Explanation :
When a firm maximizes profits, its total revenue minus total cost equals profit. The question specifies a particular value ($320) but does not directly state what this value represents. However, in the context of profit maximization, it's implied that the firm's operations result in a specific financial outcome. Since the question is about what equals $320 when the firm maximizes profits, and without specific details from Figure 15.1, the most logical interpretation is that $320 refers to an outcome of profit-maximizing behavior, typically related to revenue, cost, or profit itself. Given the options, total revenue is a plausible answer because it's a key figure in calculating profit (profit = total revenue - total cost). However, without the figure or more context, this explanation assumes that $320 is the result of profit-maximizing activities, likely linked to the firm's revenue, as profits and costs are not directly specified in the options.