Equilibrium price is $10 in a perfectly competitive market.For a perfectly competitive firm,MR = MC at 233 units of output.At 233 units,ATC is $12,and AVC is $9.The best policy for this firm is to __________ in the short run.Also,total fixed cost equals __________ for this firm.
A) continue to produce; $3
B) shut down; $699
C) continue to produce; $699
D) shut down; $2,796
E) continue to produce; $2,796
Correct Answer:
Verified
Q120: Exhibit 23-9 Q121: If a market comes close to meeting Q122: For a price taker,market equilibrium price is Q126: Equilibrium price is $8 in a perfectly Q136: The profit-maximization rule is as follows: Q147: In long-run competitive equilibrium P = SRATC, Q151: Equilibrium price is $22 in a perfectly Q154: Equilibrium price is $19 in a perfectly Q155: Equilibrium price is $10 in a perfectly Q160: If, for a perfectly competitive firm, marginal
A)Produce the
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