Exhibit 10

question 22

Multiple Choice

Exhibit 10.2 shows a firm that charges price P* for output q*.In order to minimize loss in the short run,the firm should _____

• A)shut down, because price is greater than average variable cost.
• B)shut down, because price is greater than marginal cost.
• C)shut down, because price is less than marginal revenue.
• D)continue to produce, because price is greater than average variable cost.
• E)continue to produce, because price is greater than marginal cost.

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Definitions:

Eating Binges

Periods of excessive food consumption generally not driven by hunger but emotional factors, often followed by guilt or shame.

Overweight

Having more body weight than is considered normal or healthy for a certain height.

Emotional Problems

Difficulties in managing one's emotions that significantly interfere with daily functioning or wellbeing.

Eating Binges

Episodes of excessive food consumption within a short time period, often accompanied by a sense of loss of control over eating behaviors.