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The Figure Given Below Shows the Revenue and Cost Curves

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The figure given below shows the revenue and cost curves of a perfectly competitive firm.Figure 10.5
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 -Why do the perfectly competitive firms earn only normal profits in the long run? A) Entry or exit is barred B) Firms produce identical products C) A large number of buyers and sellers exist in the market D) Aggregate demand remains constant E) There is free entry and exit of firms MC: Marginal cost curve
MR: Marginal revenue curve.ATC: Average-total-cost curve
AVC: Average-variable-cost curve
-Why do the perfectly competitive firms earn only normal profits in the long run?

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