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Direction: Read the following passage and answer the question that follows:A producer (firm) is said to be in equilibrium when the firm is producing that quantity of output which gives the firm maximum profit.For a firm, to be in equilibrium, two conditions must be fulfilled. First, and the necessary condition is that firm’s marginal cost equals marginal revenue.Second, along with the first condition is that MC must be greater than MR beyond the level of output at which MC = MR. Therefore, fulfilment of the first condition alone does not ensure maximum profits. It is possible that MC = MR condition may be fulfilled at more than one output level but only that output level beyond which MC > MR is the maximum profits output level.Q. What is the second condition for equilibrium?a)MC cuts MR from below.b)MC must be greater than MR beyond the level of output.c)Both (i) and (ii)d)None of the aboveCorrect answer is option 'C'. Can you explain this answer? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Direction: Read the following passage and answer the question that follows:A producer (firm) is said to be in equilibrium when the firm is producing that quantity of output which gives the firm maximum profit.For a firm, to be in equilibrium, two conditions must be fulfilled. First, and the necessary condition is that firm’s marginal cost equals marginal revenue.Second, along with the first condition is that MC must be greater than MR beyond the level of output at which MC = MR. Therefore, fulfilment of the first condition alone does not ensure maximum profits. It is possible that MC = MR condition may be fulfilled at more than one output level but only that output level beyond which MC > MR is the maximum profits output level.Q. What is the second condition for equilibrium?a)MC cuts MR from below.b)MC must be greater than MR beyond the level of output.c)Both (i) and (ii)d)None of the aboveCorrect answer is option 'C'. Can you explain this answer? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Direction: Read the following passage and answer the question that follows:A producer (firm) is said to be in equilibrium when the firm is producing that quantity of output which gives the firm maximum profit.For a firm, to be in equilibrium, two conditions must be fulfilled. First, and the necessary condition is that firm’s marginal cost equals marginal revenue.Second, along with the first condition is that MC must be greater than MR beyond the level of output at which MC = MR. Therefore, fulfilment of the first condition alone does not ensure maximum profits. It is possible that MC = MR condition may be fulfilled at more than one output level but only that output level beyond which MC > MR is the maximum profits output level.Q. What is the second condition for equilibrium?a)MC cuts MR from below.b)MC must be greater than MR beyond the level of output.c)Both (i) and (ii)d)None of the aboveCorrect answer is option 'C'. Can you explain this answer?.

Solutions for Direction: Read the following passage and answer the question that follows:A producer (firm) is said to be in equilibrium when the firm is producing that quantity of output which gives the firm maximum profit.For a firm, to be in equilibrium, two conditions must be fulfilled. First, and the necessary condition is that firm’s marginal cost equals marginal revenue.Second, along with the first condition is that MC must be greater than MR beyond the level of output at which MC = MR. Therefore, fulfilment of the first condition alone does not ensure maximum profits. It is possible that MC = MR condition may be fulfilled at more than one output level but only that output level beyond which MC > MR is the maximum profits output level.Q. What is the second condition for equilibrium?a)MC cuts MR from below.b)MC must be greater than MR beyond the level of output.c)Both (i) and (ii)d)None of the aboveCorrect answer is option 'C'. Can you explain this answer? in English & in Hindi are available as part of our courses for Commerce. Download more important topics, notes, lectures and mock test series for Commerce Exam by signing up for free.

Here you can find the meaning of Direction: Read the following passage and answer the question that follows:A producer (firm) is said to be in equilibrium when the firm is producing that quantity of output which gives the firm maximum profit.For a firm, to be in equilibrium, two conditions must be fulfilled. First, and the necessary condition is that firm’s marginal cost equals marginal revenue.Second, along with the first condition is that MC must be greater than MR beyond the level of output at which MC = MR. Therefore, fulfilment of the first condition alone does not ensure maximum profits. It is possible that MC = MR condition may be fulfilled at more than one output level but only that output level beyond which MC > MR is the maximum profits output level.Q. What is the second condition for equilibrium?a)MC cuts MR from below.b)MC must be greater than MR beyond the level of output.c)Both (i) and (ii)d)None of the aboveCorrect answer is option 'C'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of Direction: Read the following passage and answer the question that follows:A producer (firm) is said to be in equilibrium when the firm is producing that quantity of output which gives the firm maximum profit.For a firm, to be in equilibrium, two conditions must be fulfilled. First, and the necessary condition is that firm’s marginal cost equals marginal revenue.Second, along with the first condition is that MC must be greater than MR beyond the level of output at which MC = MR. Therefore, fulfilment of the first condition alone does not ensure maximum profits. It is possible that MC = MR condition may be fulfilled at more than one output level but only that output level beyond which MC > MR is the maximum profits output level.Q. What is the second condition for equilibrium?a)MC cuts MR from below.b)MC must be greater than MR beyond the level of output.c)Both (i) and (ii)d)None of the aboveCorrect answer is option 'C'. Can you explain this answer?, a detailed solution for Direction: Read the following passage and answer the question that follows:A producer (firm) is said to be in equilibrium when the firm is producing that quantity of output which gives the firm maximum profit.For a firm, to be in equilibrium, two conditions must be fulfilled. First, and the necessary condition is that firm’s marginal cost equals marginal revenue.Second, along with the first condition is that MC must be greater than MR beyond the level of output at which MC = MR. Therefore, fulfilment of the first condition alone does not ensure maximum profits. It is possible that MC = MR condition may be fulfilled at more than one output level but only that output level beyond which MC > MR is the maximum profits output level.Q. What is the second condition for equilibrium?a)MC cuts MR from below.b)MC must be greater than MR beyond the level of output.c)Both (i) and (ii)d)None of the aboveCorrect answer is option 'C'. Can you explain this answer? has been provided alongside types of Direction: Read the following passage and answer the question that follows:A producer (firm) is said to be in equilibrium when the firm is producing that quantity of output which gives the firm maximum profit.For a firm, to be in equilibrium, two conditions must be fulfilled. First, and the necessary condition is that firm’s marginal cost equals marginal revenue.Second, along with the first condition is that MC must be greater than MR beyond the level of output at which MC = MR. Therefore, fulfilment of the first condition alone does not ensure maximum profits. It is possible that MC = MR condition may be fulfilled at more than one output level but only that output level beyond which MC > MR is the maximum profits output level.Q. What is the second condition for equilibrium?a)MC cuts MR from below.b)MC must be greater than MR beyond the level of output.c)Both (i) and (ii)d)None of the aboveCorrect answer is option 'C'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice Direction: Read the following passage and answer the question that follows:A producer (firm) is said to be in equilibrium when the firm is producing that quantity of output which gives the firm maximum profit.For a firm, to be in equilibrium, two conditions must be fulfilled. First, and the necessary condition is that firm’s marginal cost equals marginal revenue.Second, along with the first condition is that MC must be greater than MR beyond the level of output at which MC = MR. Therefore, fulfilment of the first condition alone does not ensure maximum profits. It is possible that MC = MR condition may be fulfilled at more than one output level but only that output level beyond which MC > MR is the maximum profits output level.Q. What is the second condition for equilibrium?a)MC cuts MR from below.b)MC must be greater than MR beyond the level of output.c)Both (i) and (ii)d)None of the aboveCorrect answer is option 'C'. Can you explain this answer? tests, examples and also practice Commerce tests.