(Figure: Interpreting Short-Run Cost Curves) Given the information from the figure, if price equals $0.40, the firm should
A) stay open because it is making an economic profit.
B) stay open in the short run only because it is operating at an economic loss.
C) stay open because it is making a normal profit.
D) shut down in the short run because it will minimize its loss.
Correct Answer:
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