If the Market Price Falls Below the Minimum of the Firm's

question 116

Multiple Choice

If the market price falls below the minimum of the firm's average total cost curve:

• A)there is no level of output at which the firm can make a profit.
• B)the firm is earning profits.
• C)the market price must be lower than the firm's average variable cost.
• D)total revenue must be higher than total cost.