Which of the Following Is True of Normal Profits

question 95

Multiple Choice

Which of the following is true of normal profits?

• A) They are necessary to keep a firm in the industry in the long run.
• B) They are zero under pure competition in the long run.
• C) They are excluded from a firm's costs of production.
• D) They are what attract other firms to enter an industry.

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Definitions:

Cloud And Ground

Refers to lightning discharges that occur between a cloud and the earth's surface.

Static Charge

An imbalance of electric charges within or on the surface of a material, which remains until it is able to move away through an electric current or electrical discharge.

Spray Painting

The application of paint or another substance through the air onto a surface via the use of a spray gun, creating a uniform and smooth layer.

Electrostatic Charges

Voltage developed by an excess or lack of electrons on an object.