Which of the Following Statements Is True

question 6

Multiple Choice

Which of the following statements is true?

• A)Under a super profits tax regime firms continue to operate indefinitely.
• B)Under a royalties regime firms continue to operate indefinitely.
• C)Under a super profits tax regime firms continue to operate if the price is equal to minimum ATC.
• D)Under a super profits tax regime firms exit the industry if the price is equal to minimum ATC.

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Definitions:

PERT Times

An abbreviation for Program Evaluation and Review Technique, specifically referring to the estimated durations for tasks involved in project planning.

Optimistic

Having a positive or hopeful outlook on situations, believing that the most favorable outcomes are likely to occur.

Pessimistic

Having a tendency to see the worst aspect of things or believe that the worst will happen.

Gantt Charts

Gantt charts are visual project management tools used to schedule tasks within a project, showing start and end dates, as well as dependencies between tasks.