If a Competitive Firm Is Selling 900 Units of Its

question 50

Multiple Choice

If a competitive firm is selling 900 units of its product at a price of $10 per unit and earning a positive profit, then

• A)its total cost is more than $9,000.
• B)its marginal revenue is less than $10.
• C)its average total cost is less than $10.
• D)the firm cannot be a competitive firm because competitive firms cannot earn positive profits.

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Definitions:

Fully Developed

Having reached the maximum stage of growth or advancement in physical, emotional, or intellectual capacities.

Adulthood

The stage of life following adolescence, characterized by legal recognition of personhood, maturity, and increased responsibilities.

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Elements that influence consumer behavior, business operations, and economic policies, including inflation, unemployment rates, and interest rates.

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Young individuals who possess significant financial wealth or high-income levels.