Figure 13-1 Suppose That a Firm in a Competitive Market Has the Has

question 39

Multiple Choice

Figure 13-1
Suppose that a firm in a competitive market has the following cost curves:
-Refer to Figure 13-1.The firm will earn a positive economic profit in the short run if the market price is

• A) above $6.30.
• B) less than $6.30 but more than $4.50.
• C) less than $4.50.
• D) exactly $6.30.