A competitive firm operating in the short run is producing at the output level at which ATC is at a minimum.If ATC = $8 and MR = $9, in order to maximize profits (or minimize losses), this firm should:
A.increase output.
B.reduce output.
C.shut down.
D.do nothing; the firm is already maximizing profits.

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The Answer of A competitive firm operating in the short run is producing at the output level at which ATC is at a minimum.If ATC = $8 and MR = $9, in order to maximize profits (or minimize losses), this firm should:
A.increase output.
B.reduce output.
C.shut down.
D.do nothing; the firm is already maximizing profits.

A Competitive Firm Operating in the Short Run Is Producing