1. Which of the following would be an example of a fixed cost of production for a coffee shop?

Group of answer choices

A. Prices paid for coffee cups.

B. The cost of coffee beans.

C. Rent paid for the building.

D. Wages paid to workers.

2. A typical perfectly competitive firm is currently making positive economic profit. What do we expect will eventually happen to the short run supply curve?

Group of answer choices

A. It will remain at its current location.

B. It will shift inward (left).

C. It will shift outward (right).

3. Which of the following cost factors are most likely to contribute to a perfectly competitive firm's ability to hold on to some profits in the long run?

Group of answer choices

A. A proprietary production technology.

B. An improvement in overall labor productivity.

C. An increase in market prices.

D. A decrease in the number of firms in the market.