The accompanying table gives cost data for a firm that is selling in a purely competitive market. If the market price for the firm's product is $28, the competitive firm will
A)produce 4 units at a loss of $17.40.
B)produce 7 units at a loss of $14.00.
C)shut down in the short run.
D)produce 6 units at a loss of $23.80.

Question

The accompanying table gives cost data for a firm that is selling in a purely competitive market. If the market price for the firm's product is $28, the competitive firm will
A)produce 4 units at a loss of $17.40. 
B)produce 7 units at a loss of $14.00. 
C)shut down in the short run. 
D)produce 6 units at a loss of $23.80.

Quizplus · Accepted Answer

The Answer of  The accompanying table gives cost data for a firm that is selling in a purely competitive market. If the market price for the firm's product is $28, the competitive firm will
A)produce 4 units at a loss of $17.40. 
B)produce 7 units at a loss of $14.00. 
C)shut down in the short run. 
D)produce 6 units at a loss of $23.80.

The Accompanying Table Gives Cost Data for a Firm That