Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Micro Economics: Market Equilibrium

Question:
Objective of the consumer is to maximise his respective ___________ and that of the firm is to maximise its respective _______.
Options:
preference, profit
profit, preference
cost, profit
profit, revenue
Correct Answer:
preference, profit
Explanation:
Consumers always try to maximize their preference and hence their utility whereas firms always try to maximize their profits.