When a Purely Competitive Firm Is in Long-Run Equilibrium

question 178

Multiple Choice

When a purely competitive firm is in long-run equilibrium,

• A)marginal revenue exceeds marginal cost.
• B)price equals marginal cost.
• C)total revenue exceeds total cost.
• D)minimum average total cost is less than the product price.

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Definitions:

Lumen

The interior space of a tubular structure, such as an artery or intestine.

Tube-Like Organ

A hollow body part that resembles a tube in shape, facilitating the passage or transport of substances.

Abnormal

Straying from the expected or common, often in a concerning or unwelcome manner.

Prefix

A syllable or word placed before another word to modify its meaning or create a new term.