The Figure Given Below Shows the Demand and Cost Curves

question 68

Multiple Choice

The figure given below shows the demand and cost curves of a perfectly competitive firm. Figure: 9.4 D: Demand curve
MC: Marginal cost curve
ATC: Average-total cost curve
AVC: Average-variable-cost curve
Refer to Figure 9.4.The presence of the average-variable-cost curve suggests that the firm is operating:

• A)in the short run.
• B)in the long run.
• C)at a gain.
• D)in a monopoly.
• E)at a zero profit.

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Definitions:

Consequence

The result or effect of an action or condition.

Voluntary Behaviors

Actions undertaken by choice and without external coercion, reflecting autonomy and personal preference.

Antecedents

Factors or events that exist or occur before a specific behavior, showing a causal relationship.

Classical Conditioning

A method of learning that involves forming connections between a stimulus from the environment and one that occurs naturally.