Ask Question
BusinessBusiness
28 June, 19:12

In the long run for a competitive firm,

a. the firm is making economic profits.

b. the marginal cost is greater price.

c. the firm is at the bottom of its short run average cost curve.

d. the firm is at the top of its long run average cost curve.

+5
Answers (1)
  1. 28 June, 20:56
    0
    The correct answer is letter "C": the firm is at the bottom of its short run average cost curve.

    Explanation:

    Competitive firms are companies that accept the equilibrium price of a given good or service within a market. If they try to raise the price, they will not be able to sell their products. It is said that in the long term a competitive firm is at the bottom of its short-run average cost curve because it portraits the most efficient level of production. That curve shows the optimal least-cost input combination for producing output.
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “In the long run for a competitive firm, a. the firm is making economic profits. b. the marginal cost is greater price. c. the firm is at ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
The merchandise purchases budget depends on information provided by the sales budget. a. True b. False
Answers (1)
An index model regression applied to past monthly returns in Ford's stock price produces the following estimates, which are believed to be stable over time: rF = 0.10% + 1.
Answers (1)
You currently pay $10,000 per year in rent to a landlord for a $100,000 house, which you are considering purchasing. You can qualify for a loan of $80,000 at 9% if you put $20,000 down on the house.
Answers (2)
Which is considered a type of risky investment? A. venture capital B. regular savings account C. lien D. certificate of deposit (CD)
Answers (2)
A company is set to launch a new product line. At first, only the brand's logo is displayed in various media, without any explanation of what the brand is or what the brand does.
Answers (1)
New Questions in Business
The following transactions occurred during the first year of operations for Cougar Corp. for each transaction prepare the year-end adjusting journal entry. Note: these ARE adjusting entries. a. Cougar Corp.
Answers (1)
Given the following information for a one-year project, answer the following questions. Recall that PV is the planned value, EV is the earned value, AC is the actual cost, and BAC is the budget at completion.
Answers (1)
Preferred Stock, 7%, $115 par $1,170,000 Common Stock, $1.50 par 300,000 Paid in capital in excess of par, common stock 1,200,000 Retained earnings 2.500.
Answers (1)
On January 1, 2013, M. Johanson Company purchased equipment for $36,000. The company is depreciating the equipment at the rate of $500 per month. The book value of the equipment at December 31, 2013 is:A) $0. B) $6,000. C) $30,000. D) $36,000.
Answers (1)
Department B had a beginning inventory of 2,400 units, 25% completed; an ending inventory of 2,700 units, 2/3 completed, and received 4,900 units during the period from Department A.
Answers (1)
Home » Business » In the long run for a competitive firm, a. the firm is making economic profits. b. the marginal cost is greater price. c. the firm is at the bottom of its short run average cost curve. d. the firm is at the top of its long run average cost curve.
Sign Up Forgot Password?