To improve productivity, a local bakery rents a machine that mixes, partitions, and then bakes dough for a variety of pastries. The machine costs the business $2,500 per month to rent and operate, regardless of output. The cost of renting the machine is classified as _____.(1 point)
Responses
marginal cost
marginal cost
marginal revenue
marginal revenue
a variable cost
a variable cost
a fixed cost
a fixed cost
When a firm is producing at the level of output that maximizes profit, which of the following is true?(1 point)
Responses
Marginal revenue is positive.
Marginal revenue is positive.
Marginal cost is negative.
Marginal cost is negative.
Marginal revenue is equal to marginal cost.
Marginal revenue is equal to marginal cost.
Marginal revenue is greater than marginal cost.