Chrysanthemum Industries has fixed costs of $10,000 and variable costs of $20,000 when it produces 1,000 units. The 1,000th unit costs Chrysanthemum industries $30. This perfectly competitive industry:

Question

Quizplus · Accepted Answer

In long-run equilibrium, firms earn zero economic profit. In this case, Chrysanthemum Industries is earning zero economic profit, so the industry is in long-run equilibrium.

Chrysanthemum Industries Has Fixed Costs of $10,000 and Variable Costs