An entrepreneur will be able to make a substantial profit if the entrepreneur

Question

Quizplus · Accepted Answer

Keeping competitors out of the market would give the entrepreneur a greater market share and potentially allow them to set higher prices, leading to a larger profit margin. Lowering prices below average total cost (B) would result in losses rather than profits. Increasing costs at all possible quantities of output (C) would also result in lower profits or even losses.

An Entrepreneur Will Be Able to Make a Substantial Profit