If Firms Are Producing at a Profit-Maximizing Level of Output

question 121

Multiple Choice

If firms are producing at a profit-maximizing level of output where the price is equal to the average total cost:

• A)accounting profits may be negative.
• B)accounting profits must be zero.
• C)economic profits may be positive.
• D)economic profits must be zero.

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Definitions:

Mycorrhizal

Referring to the symbiotic association between a fungus and the roots of a vascular plant, enhancing nutrient and water uptake.

Fibrous

Consisting of or characterized by fibers, often referring to tissue, plants, or materials with a thread-like structure.

Protoderm

The outermost layer of the primary meristem in plant embryos, which develops into the epidermis.

Ground Meristem

A type of plant tissue responsible for producing the ground tissues, including the parenchyma, collenchyma, and sclerenchyma cells.