WinchesterGirl8189 WinchesterGirl8189

13-01-2021
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As long as price is sufficient to cover ________, the firm is better off by operating rather than by shutting down. A) marginal cost B) average fixed cost

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ewomazinoade ewomazinoade

15-01-2021

Answer:

A

Explanation:

A firm should shutdown if its price is below average variable cost or marginal cost.

Marginal cost is the change in cost as a result of increasing output by one unit.

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