Jim and Lisa own a dog-grooming business in Champlain,New York,called JL Groomers.There are many buyers and many sellers in the dog-grooming service market.JL Groomers experiences normal cost curves,with the marginal cost (MC)curve minimized at $14 and crosses the average total cost (ATC)curve at $22.JL Groomers will make zero economic profits if the market price is:
A) $14.
B) between $14 and $22.
C) below $14.
D) $22.
E) above $14.

Question

Quizplus · Accepted Answer

JL Groomers will make zero economic profits when the market price equals the average total cost (ATC), which is $22.

Jim and Lisa Own a Dog-Grooming Business in Champlain,New York,called