A Profit-Maximizing Firm Will Shut Down When

question 19

Multiple Choice

A profit-maximizing firm will shut down when:

• A)total revenues are less than the total cost of fixed and variable factors of production.
• B)total revenues are less than the cost of variable factors of production.
• C)total revenues are less than the cost of fixed factors of production.
• D)profits are zero.

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Definitions:

Subliminal Perception

The processing of information by sensory systems without a person's conscious awareness.

False Alarm

An error or false report indicating a problem or emergency when none actually exists.

Just Noticeable Difference

The smallest difference in stimulation that can reliably be detected by an organism, often referred to as the "difference threshold."

Absolute Threshold

The minimum intensity of a stimulus required to be perceivable by our senses.