When a Profit-Maximizing Firm in a Monopolistically Competitive Market Is

question 496

Multiple Choice

When a profit-maximizing firm in a monopolistically competitive market is producing the long-run equilibrium quantity,

• A)its average revenue will equal its marginal cost.
• B)its marginal revenue will exceed its marginal cost.
• C)it will be earning positive economic profits.
• D)its demand curve will be tangent to its average total cost curve.

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