Question

the point where tr curve cuts tc curve is called​

Answer 1

At the equilibrium point, the firm earns maximum profits. ... TC is the Total Cost Curve and TR is the Total Revenue Curve. Also, P is the ... MR = MC; MC cuts the MR curve from below

Answer 2

1. The point where tr (total revenue) curve cuts tc (total cost) curve is called​ break even point.
2. At this point both total revenue and total cost are equal.
3. It is no profit and no loss situation.
4. Break-even point = Fixed cost/Price per cost – Variable cost
5. It is very important tool in economics as it helps in determining pricing strategy, cost control, number of units to be sold etc.