28.The following information is available for a company that operates in a perfectly competitive market. Current Output 5000 units Current Market Price $5 Total Cost $25,000 Marginal Cost $4 Total Variable Cost $20,000 What is the best action for this firm? A-Increase output in the short run and stay in the market the long run. B-Increase output in the short run and decrease output in the long run C-Shut down in the short run and exit in the long run D-Shut down in the short run and produce in the long run
28.The following information is available for a company that operates in a
| Current Output | 5000 units |
| Current Market Price | $5 |
| Total Cost | $25,000 |
| Marginal Cost | $4 |
| Total Variable Cost | $20,000 |
What is the best action for this firm?
A-Increase output in the short run and stay in the market the long run.
B-Increase output in the short run and decrease output in the long run
C-Shut down in the short run and exit in the long run
D-Shut down in the short run and produce in the long run
E-Reduce output in the short run and increase output in the long run
29.Which of the following statements is true of a perfectly competitive market in the long run?
A-No firms can enter or exit. B-All firms earn normal profits, and there is both productive and
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