Solved

In the Figure Given Below MC Denotes the Marginal Cost

Question 40

Multiple Choice


In the figure given below MC denotes the marginal cost and AC denotes the average cost of a firm under perfect competition.
 In the figure given below MC denotes the marginal cost and AC denotes the average cost of a firm under perfect competition.      -Refer to Figure .When the demand increases to Q₁, in the short run the firm will be: A) earning a loss. B) earning a profit. C) operating at the break-even point. D) operating at the shut-down point.
-Refer to Figure .When the demand increases to Q₁, in the short run the firm will be:


A) earning a loss.
B) earning a profit.
C) operating at the break-even point.
D) operating at the shut-down point.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents