Which of the Following Best Describes a Monopolist in the Short

question 65

Multiple Choice

Which of the following best describes a monopolist in the short run?

• A) It always suffers an economic loss.
• B) It always earns an economic profit.
• C) It always earns a normal rate of return.
• D) It may make an economic loss, an economic profit, or zero economic profits.

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Definitions:

LLC

Limited Liability Company, a flexible form of enterprise that blends elements of partnership and corporate structures, providing limited liability to its owners.

Business Tax Return

The documentation filed to report a business's income, expenses, and other tax information to government tax authorities.

Form 1040 Schedule C

A tax form used by sole proprietors to report business income and expenses to the IRS.

Form 1120

A tax form used by corporations in the United States to report their income, gains, losses, deductions, and credits to the Internal Revenue Service.