If a Manufacturer Shuts Down in the Short Run, It

question 195

Multiple Choice

If a manufacturer shuts down in the short run, it must be true that before the shutdown, at all positive output levels,

• A)average total cost was less than average variable cost
• B)fixed cost was greater than total revenue
• C)variable cost was greater than total revenue
• D)profit was zero
• E)total cost plus total revenue was less than profit

---

Definitions:

Employee Owners

Individuals who hold ownership stakes in the company they work for, often through stock options or an employee stock ownership plan (ESOP).

Job Enlargement

The process of increasing the number and variety of tasks that an employee performs, aiming to add more diversity and interest to the job.

Job Breadth

Refers to the range and variety of tasks, responsibilities, and activities an employee is expected to perform within their role.

Symbolic Tokens

Physical or abstract items that represent values, ideas, or themes and can convey specific messages or meanings.