MR P = path = AR, because so much of the business unit quantity naphlit has no effect on the price. Therefore, revenue from income and yield the final units on average per unit, it is equal to the market price.The point is the intersection of the MC with MR (MR = MC) because it is the point that makes the final unit revenue is equal to the cost of the last unit produced (production is greater than this level will cause loss)The company will gain or loss based on the ATC in point production is lower or higher than the price P.If ATC is less than P, the company will earn excess profit.If P = ATC companies will receive only a normal profit.If the company is higher than P ATC loss.
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