A-level Paper 1, June 2018Markets and Business Behaviour
A-level Paper 1, June 2018, Q4(b)
Emily now decides to change her objective from revenue maximisation to sales maximisation. This change will lead to:
Multiple choice1 mark
Context
Emily owns and operates a nail ink salon. The diagram shows the cost and revenue curves for treatments at her nail ink salon. Initially, Emily sets her price to maximise profits. Costs, Revenue per treatment (£) MC AC AR 25 36 Quantity of treatments MR per day …
Aa decrease in the number of customers
Ba decrease in the price of treatments
Can increase in productive efficiency
Dan increase in the level of profit