Sales Maximization. A firm maximizes sales at AR = AC. At this point, the firm sells all the output it can without making a loss. The firm breaks-even and earns normal profit only.
A firm may maximize sales to build a brand and create a loyal customer base. Furthermore, the firm may be trying to maximize its market share and monopoly power or drive rivals out of the market. Managers may wish to maximize sales if their pay is positively linked to sales. However, shareholders may sack directors/managers because only normal profit is earned, shareholders want super-normal profit to maximize their dividends.