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Global Economics & Global Business Applications

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Global Economics & Global Business Applications
EGT1 Economics & Global Business Applications (V1 UG 0213)-PA

Name: Christopher Talag
Student Number: 274350

Task 1:

A. Explain profit maximization from the following approaches: Profit maximization can be explained according to the following approaches according to McConnell (2012):
1. Total revenue to total cost - profit maximization is achieved when the difference of the total revenue minus the total cost is at the highest point.
2. Marginal revenue to marginal cost - means that profit maximization occurs when marginal revenue and marginal cost are equal. Marginal cost is the change in total cost as output changes by one unit. The change in total revenue from the sale of one additional unit. B. Explain the calculation used
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