Figure 13-13 -Refer to Figure 13-13.If the Diagram Represents a Typical Firm

question 101

Multiple Choice

Figure 13-13

-Refer to Figure 13-13.If the diagram represents a typical firm in the market, what is likely to happen to its average cost of production in the long run?

• A)It will probably fall since the firm must be cost efficient to remain competitive.
• B)It will probably fall since the firm will be selling less than its current amount.
• C)It will probably rise since the firm will be producing less than its current amount.
• D)It will probably rise since its long-run demand is likely to be higher.

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Definitions:

Complete Performance

Contract performance that occurs when all aspects of the parties’ duties under the contract are carried out perfectly.

Substantial Performance

Refers to a situation where a party has completed most of a contract's terms, fulfilling enough of the contract to warrant payment, though some minor elements may still be needed.

Complete Performance

Complete Performance refers to the full and exact execution of all terms and obligations as outlined in a contract or agreement, leaving no duties unfulfilled.

Tender

An offer to perform an obligation or supply goods at a fixed price.