Table 16-4 This Table Shows the Demand Schedule,marginal Cost,and Average Total Cost

question 87

Multiple Choice

Table 16-4
This table shows the demand schedule,marginal cost,and average total cost for a monopolistically competitive firm.

-Refer to Table 16-4.Which of the following statements regarding this monopolistically competitive firm is correct?

• A) New firms will enter this market in the long run since firm profits are greater than zero.
• B) Firms will leave this market in the long run since firm profits are less than zero.
• C) This firm is currently in long-run equilibrium.
• D) This firm is currently in long-run equilibrium,and the firm is producing its efficient scale of output.

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Definitions:

Planning Budget

A budget that outlines the expected revenues, expenses, and resource allocations over a specific period, used for strategic financial planning.

Spending Variance

The difference between the budgeted amount for spending and the actual amount spent.

Supplies Cost

The total expense incurred for supplies used during a specific period, encompassing raw materials or office supplies depending on the business context.

Frames

Structural components designed to support and shape the construction or overall form of an object, often used in contexts like glasses, building construction, or vehicle design.