(Figure: Determining Profit) at Price F, Which of the Following

question 186

Multiple Choice

(Figure: Determining Profit) At price F, which of the following is NOT true for this firm in perfect competition?

• A) The firm will have to shut down soon if the market price does not increase.
• B) Marginal revenue is equal to marginal cost.
• C) Economic profits are $0.
• D) The market is in long-run equilibrium.

Understand different methods to insert functions in Excel.

Recognize the correct use of the Save As dialog box for saving workbooks.

Learn how to preserve the original version of a workbook.

Identify tools and methods for specific printing tasks in Excel.

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Definitions:

Raw Materials

The basic materials and substances used in the initial stages of production to manufacture goods.

Standard Costs

Predicted costs associated with manufacturing or providing a service, used for budgetary control and performance analysis.

Cash Account

An account that tracks the flow of cash transactions, including all receipts and payments of cash.

Standard Cost Variances

Differences between the planned (standard) costs and the actual costs incurred.