If a firm is currently producing zero output in the short run, total cost equals

Name: If a firm is currently producing zero output in the short run, total cost equals
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Question

Quizplus · Accepted Answer

In the short run, fixed cost is the cost that is incurred regardless of the level of output produced. If the firm is producing zero output, it is still incurring fixed costs such as rent, salaries, and insurance, therefore total cost equals fixed cost.

If a Firm Is Currently Producing Zero Output in the Short