If the Market Price Is Above a Firm's Average Cost

question 71

Multiple Choice

If the market price is above a firm's average cost at the quantity produced

• A)the firm operates and makes a profit.
• B)the firm operates and make zero economic profit.
• C)the market price of the firm's inputs will rise.
• D)total profit is maximized.

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Definitions:

Contraception

Methods or devices used to prevent pregnancy as a result of sexual intercourse.

Pollutants

Substances introduced into the environment that cause harm or discomfort to organisms, often resulting from human activity.

Automobiles

Motor vehicles with four wheels, primarily designed for passenger transportation on roads.

Chlorofluorocarbons

Chemical compounds used in aerosols and refrigeration that deplete the ozone layer.