If price is greater than the average variable cost and less than the average total cost at the profit-maximizing quantity of output in the short run, a perfectly competitive firm will: produce more than the profit-maximizing quantity. produce at an economic loss. shut down production. produce at an economic profit.
If price is greater than the average variable cost and less than the average total cost at the profit-maximizing quantity of output in the short run, a perfectly competitive firm will: produce more than the profit-maximizing quantity. produce at an economic loss. shut down production. produce at an economic profit.
Micro Economics For Today
10th Edition
ISBN:9781337613064
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter8: Perefect Competition
Section: Chapter Questions
Problem 12SQ
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please answer in text form and in proper format answer with must explanation , calculation for each part and steps clearly
![If price is greater than the average variable cost and less than the average total cost at the profit-maximizing quantity of
output in the short run, a perfectly competitive firm will:
produce more than the profit-maximizing quantity.
produce at an economic loss.
shut down production.
produce at an economic profit.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Ffde3140b-afe8-44d2-8612-faf3bde24cda%2Fc8991c9d-769c-4891-a6f1-12f6018627a4%2Fsfqzwc7_processed.png&w=3840&q=75)
Transcribed Image Text:If price is greater than the average variable cost and less than the average total cost at the profit-maximizing quantity of
output in the short run, a perfectly competitive firm will:
produce more than the profit-maximizing quantity.
produce at an economic loss.
shut down production.
produce at an economic profit.
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