Question

Ken is a producer in a perfectly competitive market structure. Identify the point where he will set his price.

Answer 1

Where the marginal revenue and the marginal cost meet

Step-by-step explanation:

I got this right on Edmentum/Plato

Answer 2

For a person to set the prices he needs to know a couple of things. Firstly, and most importantly, he needs to know the market through and through. He needs to know how much the people will pay, taking into consideration the competition. Also, we need to use the best pricing technique. We need to think about the influences on the price. Of course, we need to work out our costs, and cost-plus pricing. Hope this helps.