Which of the Following Is NOT a Characteristic of Long-Run

question 96

Multiple Choice

Which of the following is NOT a characteristic of long-run equilibrium for a perfectly competitive firm?

• A)Price is greater than long-run average cost.
• B)Price is equal to long-run marginal cost.
• C)Economic profit is zero.
• D)The firm produces the output level at which long-run average cost is at its minimum.

Recognize the implications of corporate actions and the liability of a corporation for those actions.

Grasp the concepts of close and benefit corporations and their unique characteristics.

Understand the financial structure of a corporation, including stocks and the raising of capital.

Learn the legal requirements and procedural aspects of forming a corporation.

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Definitions:

Consumer's Surplus

The disparity between what consumers are prepared and can afford to spend on a product or service and the actual amount they end up paying.

Total Amount

The complete sum or quantity of something, encompassing all parts or units counted.

Willing to Pay

The maximum amount an individual is prepared to spend to acquire a good or service.

Utility Function

A mathematical representation in economics that describes how consumers allocate their income across different goods and services to maximize their utility or satisfaction.