A firm encounters its 'shutdown point' when

Question

TuteeHUB · Accepted Answer

verage fixed cost equals price at the profit-maximizing level of output

TuteeHUB · Answer

verage total cost equals price at the profit-maximizing level of output

TuteeHUB · Answer

verage variable cost equals price at the profit-maximizing level of output

TuteeHUB · Answer

arginal cost equals price at the profit-maximizing level of output

1.	A firm encounters its 'shutdown point' when
A.	verage total cost equals price at the profit-maximizing level of output
B.	verage variable cost equals price at the profit-maximizing level of output
C.	verage fixed cost equals price at the profit-maximizing level of output
D.	arginal cost equals price at the profit-maximizing level of output
Answer» C. verage fixed cost equals price at the profit-maximizing level of output

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