The Competitive Industry and Firm
-Refer to the graph above to answer this question.What is the total loss at the shut-down price?

Question

Quizplus · Accepted Answer

The total loss at the shut-down price is calculated by finding the difference between total revenue and total variable cost at the quantity where the price equals the minimum average variable cost. Without the graph, we can't provide specific calculations, but typically, the shut-down price is where the firm's revenue just covers its variable costs, and the loss equals the total fixed costs. Since we can't see the graph, we can't calculate directly but the correct answer would be based on the information given in the question and the understanding of economic principles.