Assume a Profit Maximizing Firm's Short-Run Cost Is TC =

question 42

Multiple Choice

Assume a profit maximizing firm's short-run cost is TC = 700 + 60Q.If its demand curve is P = 300 - 15Q,what should it do in the short run?

• A)shut down
• B)continue operating in the short run even though it is losing money
• C)continue operating because it is earning an economic profit
• D)Cannot be determined from the above information

---

Definitions:

Pleasure Reader

An individual who reads for enjoyment and entertainment rather than for work or study purposes.

Comprehension

Understanding the meaning and significance of information or concepts.

Retention

The ability to keep or retain something, often used in contexts like employee retention or memory retention.

Critical Thought

The mental process of actively and skillfully conceptualizing, applying, analyzing, synthesizing, and evaluating information to reach an answer or conclusion.