10) à In Figure 5.8, if the supply curve moves from S3 to $5, MC S³ AVC S4 AFC ATC D MC ATC AVC P.MRI P2 MR2 P) MR³ P4 MR4 P-MRS A) the firm will make a smaller economic profit than they used to. B) the firm will go from making an economic profit to a normal profit. C) the firm will go from making a normal profit to a loss but one that is not big enough to make it want to shutdown. D) the firm will go from making a normal profit to a loss that is big enough to make it want to shutdown.

10) à In Figure 5.8, if the supply curve moves from S3 to $5, MC S³ AVC S4 AFC ATC D MC ATC AVC P.MRI P2 MR2 P) MR³ P4 MR4 P-MRS A) the firm will make a smaller economic profit than they used to. B) the firm will go from making an economic profit to a normal profit. C) the firm will go from making a normal profit to a loss but one that is not big enough to make it want to shutdown. D) the firm will go from making a normal profit to a loss that is big enough to make it want to shutdown.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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