Refer to the graph shown. Assuming that the industry operates under conditions of perfect competition and that the firms seek to maximize profits, this firm will:
A) produce 800 square feet of construction per month in the short run.
B) produce 1,000 square feet of construction per month in the short run.
C) produce 1,200 square feet of construction in the short run.
D) incur economic losses in the short run.

Question

Refer to the graph shown. Assuming that the industry operates under conditions of perfect competition and that the firms seek to maximize profits, this firm will: 
A) produce 800 square feet of construction per month in the short run. 
B) produce 1,000 square feet of construction per month in the short run. 
C) produce 1,200 square feet of construction in the short run. 
D) incur economic losses in the short run.

Quizplus · Accepted Answer

The Answer of Refer to the graph shown. Assuming that the industry operates under conditions of perfect competition and that the firms seek to maximize profits, this firm will: 
A) produce 800 square feet of construction per month in the short run. 
B) produce 1,000 square feet of construction per month in the short run. 
C) produce 1,200 square feet of construction in the short run. 
D) incur economic losses in the short run.

Refer to the Graph Shown