The Figure Given Below Shows the Demand and Cost Curves

question 104

Multiple Choice

The figure given below shows the demand and cost curves of a perfectly competitive firm.Figure: 10.4
D: Demand curve
MC: Marginal cost curve
ATC: Average-total cost curve
AVC: Average-variable-cost curve
-Some competitive firms are willing to operate at a loss, in the short run, because:

• A)their average variable cost is less than the price.
• B)their fixed costs are less than their current losses.
• C)their average total cost is less than the price.
• D)they do not attempt to maximize profits or minimize losses.
• E)their revenues are at least able to cover their fixed costs.

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Definitions:

Highest Occupied

Pertaining to the highest energy level that contains electrons in an atom or molecule under ground state conditions.

Molecular Orbital

A region in a molecule where electrons are most likely to be found, representing the quantum mechanical behavior of electrons in molecules.

Conjugated Pi System

A molecular structure where alternating single and double bonds allow electrons to be more delocalized and contribute to the molecule's stability.

LUMO

The Lowest Unoccupied Molecular Orbital is the orbital with the lowest energy level capable of accepting an electron.