FIGURE 9-1
-Refer to Figure 9-1. The diagram shows cost curves for a perfectly competitive firm. If the market price is P2, the profit-maximizing firm in the short run should
A) produce output B.
B) produce output C.
C) produce output D.
D) produce output E.
E) shut down, as it is incurring losses.

Question

FIGURE 9-1
-Refer to Figure 9-1. The diagram shows cost curves for a perfectly competitive firm. If the market price is P2, the profit-maximizing firm in the short run should
A) produce output B. 
B) produce output C. 
C) produce output D. 
D) produce output E. 
E) shut down, as it is incurring losses.

Quizplus · Accepted Answer

The Answer of  FIGURE 9-1
-Refer to Figure 9-1. The diagram shows cost curves for a perfectly competitive firm. If the market price is P2, the profit-maximizing firm in the short run should
A) produce output B. 
B) produce output C. 
C) produce output D. 
D) produce output E. 
E) shut down, as it is incurring losses.

FIGURE 9-1 -Refer to Figure 9-1. the Diagram Shows Cost Curves for Curves