If, for a perfectly competitive firm, price is greater than average variable cost, then it follows that

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When price is greater than average variable cost, it means the firm covers its variable costs and contributes to fixed costs, making B and C correct. Total revenue being greater than total variable cost (B) allows the firm to cover its variable costs and possibly some fixed costs. Continuing to produce in this scenario (C) is better than shutting down because the firm would lose more by not covering any of its fixed costs if it ceased production. Total revenue being greater than total cost (A) cannot be determined solely based on price being greater than average variable cost, as fixed costs also need to be considered.

If, for a Perfectly Competitive Firm, Price Is Greater Than