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If a Firm Shuts Down in the Short Run,then

Question 103

Multiple Choice

If a firm shuts down in the short run,then


A) total revenue and total cost drop to zero
B) total revenue drops to zero,but the firm must still pay its fixed cost
C) total revenue drops to zero,but the firm must still pay some variable cost
D) total cost drops to zero,but the firm still earns some residual revenues
E) neither total revenue nor total cost drops to zero

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