Suppose that Carol is the owner of a candle factory.Carol wants to know what will happen if the price of the candles being sold drops below the shut-down price.
A) Carol's total revenue will be equal to total fixed costs.
B) Carol's total revenue will exceed total variable costs.
C) Carol's total revenue will be less than total variable costs.
D) Carol's total revenue will be maximized.
Correct Answer:
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