An increase in the price of a product and an increase in the number of sellers in the market affect the supply curve in the same general way

Which of the following is FALSE regarding the long run for a firm in monopolistic competition?

A) The firm makes zero economic profit. B) Price equals average total cost. C) Output is not produced at minimum average total cost. D) None of the above is a false statement.

Nicole is indifferent between option A, which gives her $20,000 for sure, and option B, which gives her $10,000 with probability 0.5 or $32,000 with probability 0.5. Nicole's cost of risk for option B is

A) zero. B) $1,000. C) $2,000. D) $20,000.