Answer:
Option b, profit maximization, is the right answer.
Explanation:
In the context of economics, a process (including both the long and the short run) through which a firm set the price, input, and production levels that commence to the highest profit, is known as profit maximization.
According to the given question, the Middleton Industries are using a price policy most commonly known as profit maximization. This can be said due to the very fact that though they are using silver and gold overlays, the essential material is cheap base metal.
