Consider a Firm Operating in a Competitive Market

question 239

Multiple Choice

Consider a firm operating in a competitive market.The firm is producing 40 units of output,has an average cost of production equal to $5,and is earning $240 economic profit in the short run.What is the current market price?

• A)$9
• B)$10
• C)$11
• D)$12

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Definitions:

Natural Increase

The growth of a population through excess of births over deaths, excluding the effects of migration.

Slave Population

denotes the group of individuals forcibly held in bondage and compelled to work without wages, primarily in the southern United States before the Civil War.

African Influences

Refers to the cultural, social, linguistic, and historical impact of Africans and African descendants across the world, significantly in areas such as music, cuisine, language, and social practices.

Separate Identity

The concept of developing a distinct personality, culture, or brand that differentiates an entity from others.