Sometimes a Firm Will Continue to Operate Even If That $P = M C = A C$

Multiple Choice

Sometimes a firm will continue to operate even if that firm incurs short-run negative profits (losses) . Which of the following characterizes this situation?

A) $P = M C = A C$ .
B) $P = M C = A V C$ .
C) $P = M C$ where $P > A V C$ but $P < A C$ .
D) $P = M C$ where $P > A C$ but $P < A V C$ .