-The Figure Above Shows the Costs for a Grower in the Perfectly

question 412

Multiple Choice

-The figure above shows the costs for a grower in the perfectly competitive turnip industry. If the price is $1,400 for a ton of turnips, the firm is

• A) making an economic profit.
• B) making zero economic profit.
• C) incurring an economic loss.
• D) More information is needed to determine if the firm is making a positive economic profit, zero economic profit, or incurring an economic loss.