A firm charges a price below its average total cost so that it drives out its competition. This is an example of:

People use water for trivial, unimportant purposes because

A) there is little demand for water. B) its relative price is very low. C) they don't realize how essential water is to life. D) they don't realize the world's supply of water is limited. E) they underestimate the total demand for water.

Veruca sells therapeutic bath salts on the Internet. Her annual revenue is $52,000 per year, the explicit costs of her business are $14,000, and the opportunity costs of her business are $17,000 per year

What are the implicit costs of her business? A) $14,000 B) $17,000 C) $21,000 D) $31,000