If the Price Is Greater Than the Average Variable Cost

question 170

Multiple Choice

If the 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:

• A)continue to produce at an economic loss.
• B)earn an economic profit.
• C)encourage other firms to enter the industry.
• D)produce more than the profit-maximizing quantity.

---

Definitions:

Diet

The combination of foods and beverages a person consumes, which impacts health, body weight, and disease risk.

Exercise

Physical activities performed to improve health, fitness, and overall well-being.

Cardiac Rehabilitation

A supervised program that includes exercise training, health education, and stress reduction for patients who have experienced heart-related problems.

Second Heart Attack

A subsequent myocardial infarction that occurs in an individual who has already experienced one heart attack, emphasizing the importance of ongoing cardiac care and lifestyle modification.