The long-run equilibrium of a monopolistically competitive firm is characterized by
A) a tangency of the average total cost curve with the firm's demand curve.
B) price equal to marginal cost.
C) production at the minimum point of the firm's average total cost curve.
D) production at the minimum point of the firm's average variable cost curve.
A
Economics
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The phrase "to spread the overhead" refers to reducing the costs that are not directly attributable to the production process
a. True b. False Indicate whether the statement is true or false
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Assume that the equilibrium price in a perfectly competitive industry is $4.25 . If a firm in this industry produced and sold 10 units with an average total cost of $5.00, what would be the result would be:
a. a profit of $0.75 b. a profit of $7.50 c. a loss of $0.75 d. a loss of $7.50
Economics