Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Refer to the following figure. If the market price is $ 3 0 , should the firm represented in the figure continue to stay in
Refer to the following figure. If the market price is $ should the firm represented in the figure continue to stay in business in the shortrun?
Yes, it should continue to stay in business because it is making a profit.
No it should shut down immediately since it cannot cover its variable costs.
Yes, it should continue to stay in business because it is covering part of its fixed cost.
No it should shut down immediately since it is making a loss.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started