Narrbegin Exhibit 7.8
-According to Exhibit 7.8, given the short-run equilibrium of this firm, we would expect:

Question

Narrbegin Exhibit 7.8  
-According to Exhibit 7.8, given the short-run equilibrium of this firm, we would expect:

Quizplus · Accepted Answer

In the short-run equilibrium of the firm, the price is equal to the marginal cost, which is above the average variable cost but below the average total cost. This means that the firm is covering its variable costs but not fully covering its fixed costs. Therefore, we would expect the firm to at least cover its fixed costs and continue producing at the current level. Options A and C are not expected based on the given information, and option D is not directly related to the firm's short-run equilibrium.