When determining whether to shut down in the short run, a competitive firm should ignore i) fixed costs.
Ii) variable costs.
Iii) sunk costs.

Name: When determining whether to shut down in the short run, a competitive firm should ignore i) fixed costs. Ii) variable costs. Iii) sunk costs.
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In the short run, a firm should ignore fixed costs and sunk costs when deciding to shut down, as these costs are not recoverable and do not affect the decision. The firm should focus on covering variable costs.

When Determining Whether to Shut Down in the Short Run