Economics 9708 · AS & A Level · 7.5

7.5 — practice question

The table gives details about a profit-maximising firm. What action should the firm take?

  • Aclose down immediately because it is not covering its fixed costs
  • Bclose down immediately because it is not covering its average costs
  • Cclose down immediately because it is not covering its total costs
  • Dcontinue production in the short run because it is covering its variable costs

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