If your estimated Total Cost function is TC = 100 + 10Q + 0.02Q², Your current output is Q = 1000. Given your Marginal Cost at Q = 1000 units, if you can sell every unit you make at the price P=$70 then your current output of Q=1000 is

Question 9 options:

a)

too low, you could increase profits if you increased your output

b)

I would not pick this answer

c)

too high, you could increase profits if you decreased your output

d)

the profit maximizing level of output