If There Is Perfect Certainty, a Competitive Firm Will Necessarily

question 38

Multiple Choice

If there is perfect certainty, a competitive firm will necessarily

• A)seek to maximize its immediate profits rather than long-run returns because otherwise it will go broke.
• B)maximize the ratio of the present value of its sales to the present value of its costs.
• C)equalize its profits in all periods.
• D)equalize its sales in all periods.
• E)None of the above.

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