The figure below shows revenue and cost curves of a natural monopoly firm. Figure 26.1 
In the figure,
D: Demand curve
MR: Marginal revenue curve
MC: Marginal cost curve
ATC: Average total cost curve
According to Figure 26.1, the price under perfect competition will be:
Definitions:
General Factory
An umbrella term referring to the physical location where manufacturing operations occur, encompassing all areas of production.
Activity Rate
A rate used in activity-based costing to allocate overhead costs to products or services, based on their consumption of activities.
Activity-Based Costing
An accounting method that assigns costs to products or services based on the activities required to produce or deliver them, providing more accurate product costing.
Machine Setups
The process of preparing machines for a specific production run, involving adjustments and configurations specific to the product being manufactured.
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