Profit-maximizing firms enter a competitive market when existing firms in that market have Oa. total revenues that exceed fixed costs. Ob. average total costs that exceed average revenue. Oc. average total costs that are less than market price. Od. total revenues that exceed total variable costs.

Profit-maximizing firms enter a competitive market when existing firms in that market have Oa. total revenues that exceed fixed costs. Ob. average total costs that exceed average revenue. Oc. average total costs that are less than market price. Od. total revenues that exceed total variable costs.

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter13: Firms In Competitive Markets

Section: Chapter Questions

Problem 5CQQ

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Question

Profit-maximizing firms enter a competitive market when existing firms in that market have
Oa. total revenues that exceed fixed costs.
Ob. average total costs that exceed average revenue.
Oc. average total costs that are less than market price.
Od. total revenues that exceed total variable costs.

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