If the Firm in the Graph Below Represents the Typical

If the firm in the graph below represents the typical firm in a monopolistically competitive industry, what would be most likely to occur?

A) New firms would be likely to enter this industry.
B) Existing firms would be likely to exit this industry.
C) Firms would neither enter nor exit this industry.
D) New firms would like to enter but since there are substantial barriers to entry they cannot do so.
E) There is not sufficient information in this graph to draw a conclusion on entry or exit of firms.