A Perfectly Competitive Firm's Short-Run Supply Curve Is

question 243

Multiple Choice

A perfectly competitive firm's short-run supply curve is

• A)upward sloping and is the portion of the marginal cost curve that lies above the average total cost curve.
• B)upward sloping and is the portion of the marginal cost curve that lies above the average variable cost curve.
• C)perfectly elastic at the market price.
• D)horizontal at the minimum average total cost.

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Definitions:

Creditors

Creditors are individuals or entities to whom money is owed by debtors or borrowers.

Primary Objective Test

A rule that states a writing is not needed for enforcement if the promise to pay another party’s debt is made to obtain a gain for the guarantor.

Guarantor

The promisor.

Enforceable

A characteristic of a legal agreement or obligation that allows it to be legally upheld or compelled in a court of law.