Leahs lawn-mowing service is a profit-maximizing competitive firm. Leah mows lawns for $27 each. Her total cost
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Leah’s lawn-mowing service is a profit-maximizing competitive firm. Leah mows lawns for $27 each. Her total cost each day is $280, of which $30 is a fixed cost. She mows 10 lawns a day. What can you say about Leah’s short-run decision regarding shutdown and her long-run decision regarding exit?
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Leahs total variable cost is her total cost each da...View the full answer
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