Consider the following total cost schedule for a perfectly competitive firm producing ball- point pens. $$\begin{array} { | c | c | c | }
\hline \begin{array} { c }
\text { Output } \
\text { per period }
\end{array} & \text { TVC } ( \$ ) & \text { TFC } ( \$ ) \
\hline 0 & 0 & 5 \
\hline 10 & 2 & 5 \
\hline 20 & 3 & 5 \
\hline 30 & 6 & 5 \
\hline 40 & 10 & 5 \
\hline 50 & 15 & 5 \
\hline
\end{array}$$ TABLE 9- 3
-Refer to Table 9- 3.This firm would shut down in the short run if the market price of its output
A)dropped below $0.15.
B)dropped below $0.20.
C)dropped below $0.30.
D)dropped below $2.00.
E)dropped below $3.00.

Question

Consider the following total cost schedule for a perfectly competitive firm producing ball- point pens. $$\begin{array} { | c | c | c | } 
\hline \begin{array} { c } 
\text { Output } \
\text { per period }
\end{array} & \text { TVC } ( \$ ) & \text { TFC } ( \$ ) \
\hline 0 & 0 & 5 \
\hline 10 & 2 & 5 \
\hline 20 & 3 & 5 \
\hline 30 & 6 & 5 \
\hline 40 & 10 & 5 \
\hline 50 & 15 & 5 \
\hline
\end{array}$$ TABLE 9- 3
-Refer to Table 9- 3.This firm would shut down in the short run if the market price of its output
A)dropped below $0.15.
B)dropped below $0.20.
C)dropped below $0.30.
D)dropped below $2.00.
E)dropped below $3.00.

Quizplus · Accepted Answer

The Answer of Consider the following total cost schedule for a perfectly competitive firm producing ball- point pens. $$\begin{array} { | c | c | c | } 
\hline \begin{array} { c } 
\text { Output } \
\text { per period }
\end{array} & \text { TVC } ( \$ ) & \text { TFC } ( \$ ) \
\hline 0 & 0 & 5 \
\hline 10 & 2 & 5 \
\hline 20 & 3 & 5 \
\hline 30 & 6 & 5 \
\hline 40 & 10 & 5 \
\hline 50 & 15 & 5 \
\hline
\end{array}$$ TABLE 9- 3
-Refer to Table 9- 3.This firm would shut down in the short run if the market price of its output
A)dropped below $0.15.
B)dropped below $0.20.
C)dropped below $0.30.
D)dropped below $2.00.
E)dropped below $3.00.

Consider the Following Total Cost Schedule for a Perfectly Competitive