-The production and cost information provided in the table above for Flaming Fernando's, a restaurant that sells Fiery Frijoles, is for the
A) short run because there are no variable costs.
B) short run because there is a fixed cost.
C) long run because there are no variable costs.
D) long run because there are no fixed costs.

Question

-The production and cost information provided in the table above for Flaming Fernando's, a restaurant that sells Fiery Frijoles, is for the
A) short run because there are no variable costs. 
B) short run because there is a fixed cost. 
C) long run because there are no variable costs. 
D) long run because there are no fixed costs.

Quizplus · Accepted Answer

In the short run, at least one factor of production is fixed, which means there is a fixed cost.

-The Production and Cost Information Provided in the Table Above