The Figure Given Below Shows the Revenue and Cost Curves

question 106

Multiple Choice

The figure given below shows the revenue and cost curves of a perfectly competitive firm.Figure 10.2
MC: Marginal cost curve
MR: Marginal revenue curve
ATC: Average-total-cost curve
AVC: Average-variable-cost curve
-In the short run, a firm continues to produce only if it can cover the:

• A)fixed costs.
• B)sunk costs.
• C)explicit costs.
• D)variable costs.
• E)implicit costs.