Which type of financing requires the largest minimum size of the borrower?

To increase its profit, a perfectly competitive firm will produce more output when

A) price is greater than average fixed cost. B) price is greater than marginal cost. C) marginal cost is less than average total cost. D) average variable cost is greater than average fixed cost. E) price is greater than average variable cost.

Relative to a perfectly competitive market, a monopoly results in

A) a gain in producer surplus equal to the gain in consumer surplus. B) a gain in producer surplus equal to the loss in consumer surplus. C) greater economic efficiency. D) a gain in producer surplus less than the loss in consumer surplus.