Solved

The Market for Corn Bread Mix Is Perfectly Competitive

Question 90

Multiple Choice

The market for corn bread mix is perfectly competitive. The lowest average variable cost for firm X in this market is $1, and the lowest average total cost is $3. At what price would this firm shut down immediately?


A) $0.75
B) $1.10
C) $3
D) $4

Correct Answer:

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