Adkins Air Is the Only Seller Offering Service Directly from Melbourne

Multiple Choice

Adkins Air is the only seller offering service directly from Melbourne to Bendigo. The market is contestable. Thus the Nash Equilibrium for a game between Adkins Air and a potential entrant is when the potential entrant

A) does not enter and Adkins earns a normal profit.
B) does not enter and Adkins earns an economic profit.
C) enters and Adkins earns a normal profit.
D) enters and Adkins earns an economic profit.