Which Is Necessarily True for a Purely Competitive Firm in Short-Run

question 140

Multiple Choice

Which is necessarily true for a purely competitive firm in short-run equilibrium?

• A) Marginal revenue minus marginal cost equals zero.
• B) Price minus average total cost equals zero.
• C) Total revenue minus total cost equals zero.
• D) Marginal revenue is zero.

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Definitions:

Area

The measure of the extent of a two-dimensional surface or shape, or the extent of a land surface within specific boundaries.

Standard Normal

A special case of the normal distribution with a mean of zero and a standard deviation of one, used as a basis for comparison with other normal distributions.

Area

The determination of the size of a two-dimensional figure or area, measured in square units.

Normally Distributed

Describes a type of distribution where data is symmetrically distributed around the mean, following a bell-shaped curve.