Use the Following to Answer Questions

Multiple Choice

Use the following to answer questions:
Figure: Comparing Long-Run Equilibriums
-(Figure: Comparing Long-Run Equilibriums) Look at the figure Comparing Long-Run Equilibriums. Which of the following statements is FALSE?

A) Firms in panel (A) cannot have excess profits in the long run, but those in panel (B) can.
B) Both panels show markets in which firms are covering all of their implicit and explicit costs.
C) Firms in the market shown in panel (A) produce identical products, whereas those in panel (B) produce similar but differentiated products.
D) Both firms show markets that have many firms.