The figure given below shows the demand and cost curves of a perfectly competitive firm.Figure: 10.4
D: Demand curve
MC: Marginal cost curve
ATC: Average-total cost curve
AVC: Average-variable-cost curve
-Refer to Figure 10.4. The firm faces a total _____ of _____.
A) profit; $500
B) profit; $2,500
C) loss; $2,500
D) loss; $650
E) loss; $500
Correct Answer:
Verified
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