In the Short Run, a Purely Competitive Firm Will Always

question 280

Multiple Choice

In the short run, a purely competitive firm will always make an economic profit if

• A)P = ATC.
• B)P > AVC.
• C)P = MC.
• D)P > ATC.

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Definitions:

Obligated

Being legally or morally required to do something based on laws, regulations, agreements, or ethical principles.

Alteration Defense

A legal argument used when a document has been changed or modified, affecting the obligations or rights under that document.

Presentment

The formal presentation of a document such as a check or bill of exchange for payment or acceptance.

Negotiable Instrument

A document that ensures the payment of a specified sum of money, either upon request or at an established date, with the payer's name indicated on it.