Use the Information Below to Answer the Following Questions

question 58

Multiple Choice

Use the information below to answer the following questions.
Fact 12.4.2 Exxon Mobil Selling All Its Retail Gas Stations
Exxon Mobil is not alone among Big Oil exiting the retail gas business, a market where profits have gotten tougher as crude oil prices have risen. Gas station owners say they're struggling to turn a profit because while wholesale gasoline prices have risen sharply, they've been unable to raise pump prices fast enough to keep pace.
Source: Houston Chronicle, June 12, 2008
-Refer to Fact 12.4.2. Exxon Mobil is making ________ decision in the retail gasoline market. This decision maximizes Exxon Mobil's economic profit if ________.

• A)a shutdown; price in the retail gas market is less than average total cost
• B)an exit; other retail gasoline firms also leave the market
• C)an exit; price in the retail gas market is less than average total cost
• D)a shutdown; price is less than average variable cost
• E)an irrational; the demand for gasoline decreases

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Definitions:

Generic Form

A non-branded version of a medicine, containing the same active ingredients as the brand-name version.

Medication

Substances used for medical treatment, especially for relieving or curing diseases and health conditions.

Chart

A visual representation of data or a record used in healthcare settings to document patient care and medical history.

Insulin Aspart

A rapid-acting insulin analog used to improve blood sugar control in adults and children with diabetes mellitus.