The Zero-Profit Price for a Firm in Perfect Competition

question 36

Multiple Choice

The zero-profit price for a firm in perfect competition:

• A)is a price just sufficient to cover fixed cost.
• B)is at the point where total revenue from sales is at its minimum level.
• C)occurs at the point where marginal and average cost are equal.
• D)occurs at the point where marginal cost is at its minimum level.
• E)is not correctly described by any of the above.

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Definitions:

Negative Message

Communication that conveys bad news, rejection, or a negative outcome in a manner that aims to minimize impact or maintain relationships.

Primary Purposes

The fundamental reasons or main objectives for which something is created or exists.

Sales Report

A document that summarizes the sales activities within a specific period, highlighting achievements and areas for improvement.

Telecom Company

A company that provides telecommunications services such as telephony, data transmission, and internet connectivity to individuals and businesses.