Below Are the Costs for a Pizza Restaurant, the Output

question 58

Multiple Choice

Below are the costs for a pizza restaurant, the output is pizza, in units of (pizza) .
$\begin{array}{ll}\mathrm{P}_{\mathrm{Y}}=\$ 20 / \text { pizza } & \text { TFC }=\$ 10 \\\underline{\mathrm{Y} \text { (pizzas }) } & \underline{\mathrm{TVC}(\$) } \\0 & 0 \\1 & 20 \\2 & 30 \\3 & 35 \\4 & 42 \\5 & 50 \\6 & 70 \\7 & 100\end{array}$
-The pizza restaurant should stay in business as long as:

• A) it can cover all of its variable costs, and at least some of the fixed costs
• B) it can cover all of its fixed costs, and at least some of the variable costs
• C) it can pay the total costs
• D) price is greater than ATC

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