The Producer is in equilibrium at a point there the cost line is:

CA Foundation · Business Economics · MTP · June 2024
The Producer is in equilibrium at a point there the cost line is:
(A) A. above the isoquant
(B) B. cutting the isoquant
(C) C. Tangent to isoquant
(D) D. None of these

Suggested Answer and Working Notes:

Correct Answer: Option (C)

C. Tangent to isoquant

Topics: Theory of Production and Cost

Open in Interactive Practice Hub · Full Practice Hub · Chapter Weightage · More in this subject

Related Questions in this Topic