The shut-down point for a competitive firm is in the short run is where

Long-run competitive equilibrium requires:   P = MR =MC   MC = ATC   P = minimum ATC   All of the above

A perfectly competitive firm will be operating at its shutdown point if it operates at the minimum point on its ________ cost curve. a )     average total b )     marginal c )     total d )     average variable

Question 5.5  T-Shirt Enterprises is selling in a purely competitive market.  It is producing 3,000 units, selling them for $2 each.  At this level of output, the average total cost is $2.50 and the average variable cost is $2.20.  Based on these data, the firm should                  shut down in the short run.        decrease output to 2,500 units.        ontinue to produce 3,000 units.        increase output to 3,500 units.

Given the table below for a firm operating in a perfectly competitive market, what is the short run fixed cost? Output 0 1 2 3 $20 $10 $12 Total Cost $10 $20 $28 $34 Cannot be determined

The graph shows an individual firm in a perfectly (purely) competitive industry. Adjust the horizontal price line to show the market's long-run equilibrium price. Place point E at the price and quantity the firm will produce. MC ATC AVC Price Quantity Price

Mo owns a Coffee truck which operates in a perfectly competitive industry. He faces the following cost schedule (notice that his coffee maker makes ten cups at a time, and that he has a daily fixed cost of operating the truck).  If the market price of a cup of coffee is $2.50, and he is producing at a profit maximizing level Q*, calculate his profit. (Hint: compute MR and MC to find Q*)      Q TC 0 $30 10 $50  20 $63  30 $73  40 $78  50 $95  60 $120      Select one: a. $45 b. $30 c. $35 d. $15 e. $0 Clear my choice

Lentz's Incorporated sells paper in a perfectly competitive market at a price of $2 per ream. At the profit-maximizing (cost-minimizing) level of output, average total cost is $2.50 per ream and average variable cost is $1.95 per ream. Should the firm continue to operate in the short run?

Firm Aleph operates in a perfectly competitive market in a constant-cost industry and is earning negative economic profit.     Why might Firm Aleph continue to operate despite earning negative economic profit? Explain.