Which is necessarily true for a purely competitive firm in short-run equilibrium?
A)Marginal revenue minus marginal cost equals zero.
B)Price minus average total cost equals zero.
C)Total revenue minus total cost equals zero.
D)Marginal revenue is zero.

Question

Quizplus · Accepted Answer

In a purely competitive firm in short-run equilibrium, marginal revenue equals marginal cost, so the difference between them is zero.

Which Is Necessarily True for a Purely Competitive Firm in Short-Run