# A profit maximising firm will invest up to the level of investment where ? with Answer - Economics Mcqs | TestPrep

> Solved MCQ: A profit maximising firm will invest up to the level of investment where ? Correct Answer: C. The cost of borrowing is less then the marginal efficiency of capital. Verified answer explanation for FPSC, PPSC, MDCAT, NTS, and CSS competitive exam preparation.

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# A profit maximising firm will invest up to the level of investment where ?

Direct Answer & Quick Reference

The correct option is **C. The cost of borrowing is less then the marginal efficiency of capital**.

A. The cost of borrowing equals the marginal efficiency of capital

B. The cost of borrowing is greater than the marginal efficiency of capital

C. The cost of borrowing is less then the marginal efficiency of capital **(Correct Answer)**

D. The cost of borrowing equals the marginal propensity to consume

✨ Explain with AI

Verified Key: C. The cost of borrowing is less then the marginal efficiency of capital
Solved by 3,383+ students

Verified against official examination board answer keys and standard curriculum textbooks.

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