Which of the Following Is True for a Monopolistically Competitive

question 260

Multiple Choice

Which of the following is true for a monopolistically competitive firm in long-run equilibrium?

• A)P = ATC and MR = MC.
• B)P = ATC and P = MC.
• C)P > ATC and P > MR.
• D)P > MR and MC = ATC.

---

Definitions:

Illegality

The quality or state of being contrary to law or against the laws of a society, making an action or conduct not permissible.

Revocation

The official cancellation or withdrawal of an offer, license, right, or permission.

Counteroffer

A counteroffer is a proposal made in response to an original offer, altering its terms and effectively rejecting the initial offer.

Lapse of Time

The expiration of a specified duration which can affect contracts, rights, or obligations.