Bill Operates a Boat Rental Business in a Competitive Industry

Multiple Choice

Bill operates a boat rental business in a competitive industry. He owns 10 boats and pays $1,000 per month on the loan that he took out to buy them. He rents each boat for $200 per month. The variable cost for each boat rental is $50. In the off season, Bill should

A) operate his business as long as he rents at least 7 boats per month.
B) operate his business as long as he rents at least 1 boat per month.
C) operate his business as long as he rents all 10 boats each month.
D) raise the price he charges per boat rental.