The Figure Given Below Shows the Revenue and Cost Curves

question 83

Multiple Choice

The figure given below shows the revenue and cost curves of a perfectly competitive firm.Figure 10.5
MC: Marginal cost curve
MR: Marginal revenue curve.ATC: Average-total-cost curve
AVC: Average-variable-cost curve
-Which of the following statements is true in the context of the long run?

• A)All the factors of production are fixed.
• B)No new firms enter the market.
• C)The producer can vary all the factors of production.
• D)The firms earn positive economic profit.
• E)Large firms tend to acquire market power.