A perfectly competitive firm will incur an economic loss but will continue to produce the profit- maximizing quantity of output in the short run if the price is:
A.less than marginal cost.
B.less than average variable cost.
C.greater than average total cost.
D.greater than average variable cost and less than average total cost.

Question

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The Answer of A perfectly competitive firm will incur an economic loss but will continue to produce the profit- maximizing quantity of output in the short run if the price is:
A.less than marginal cost.
B.less than average variable cost.
C.greater than average total cost.
D.greater than average variable cost and less than average total cost.

A Perfectly Competitive Firm Will Incur an Economic Loss but Will