When the Price of a Perfectly Competitive Firm's Output Rises

question 149

Multiple Choice

When the price of a perfectly competitive firm's output rises:

• A)the firm will produce more.
• B)the firm's marginal cost curve will shift to the right.
• C)the firm will produce less.
• D)the firm's marginal cost curve will shift to the left.

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Definitions:

Accounts Receivable Period

The time between sale of inventory and collection of the receivable.

Events Sequence

The order in which events occur, often important in planning, project management, and process execution.

Receivable

A receivable is an amount of money owed to a firm by its customers following the sale of goods or services on credit.

Accounts Receivable

These are funds owed to a company by customers for goods or services delivered or used but not yet paid for; considered a current asset on the balance sheet.