Table 1 Suppose that a firm in a competitive market faces the following revenues and costs: Quantity Total Revenue Total Cost 0 $3 $0 1 $6 $5 2 $12 $8 3 $18 $12 4 $24 $17 5 $30 $23 6 $36 $30 7 $42 $38 4. Refer to Table 1. The firm should not produce an output level beyond A. 4 units. B. 5 units. C. 6 units. D. 7 units. 5. Refer to Table 1. The firm will produce a quantity greater than 3 because at 3 units of output, marginal cost A. is greater than marginal revenue. B. equals marginal revenue. C. is less than marginal revenue. D. is minimized. 6. Refer to Table 1. In order to maximize profits, the firm will produce A. 1 unit of output because marginal cost is minimized. B. 4 units of output because marginal revenue exceeds marginal cost. C. 5 units of output because marginal revenue equals marginal cost. D. 7 units of output because total revenue is maximized.