If Total Revenue Is Greater Than Variable Cost but Less

Multiple Choice

If total revenue is greater than variable cost but less than total costs, the firm should

A) remain in operation because revenues are sufficient to cover variable costs and some fixed costs.
B) shut down because revenue is not sufficient to cover all costs.
C) not make any decisions until it hires an economist.
D) remain in operation because revenue is sufficient to cover all fixed costs.
E) shut down because P is less than ATC.