Which of the following is likely to have the most price elastic demand?

Suppose a firm has an output of 10,000 cans and a total fixed cost of $2,000 . At an output of 5,000 the difference between the total cost and the total variable cost is:

a. b and c. b. $0.40. c. the average fixed cost. d. $2,000. e. $0.20.

Supply tends to be more elastic in the long run than in the short run

a. True b. False Indicate whether the statement is true or false