Assume That a Small Firm, Blue Mill Flour Company, Enters

Assume that a small firm, Blue Mill Flour Company, enters the perfectly competitive market for flour. The current market price is $8.40 per 5 pound bag. Blue Mill Flour decides that $8.75 would be a better price. What will happen if Blue Mill charges a price above the current market price?

A) Blue Mill will sell more flour.
B) Blue Mill will not sell quite as much flour.
C) Blue Mill will not sell any flour.
D) Blue Mill will sell the same amount of flour.