A Firm Will Shut Down in the Short Run If

question 424

Multiple Choice

A firm will shut down in the short run if the total revenue that it would get from producing and selling its output is less than its

• A)opportunity costs.
• B)fixed costs.
• C)variable costs.
• D)total costs.

---

Definitions:

Federal Income Taxes

Taxes levied by the United States federal government on the annual earnings of individuals, corporations, trusts, and other legal entities.

Social Security Taxes

Taxes collected by the government from employees and employers to fund the Social Security program, which provides retirement, disability, and survivorship benefits.