A Monopolistically Competitive Firm That Earns an Accounting Profit in the Short

Multiple Choice

A monopolistically competitive firm that earns an accounting profit in the short run

A) must also earn an economic profit in the short run.
B) does not earn enough to earn an economic profit in the short run.
C) could earn an economic profit, break even, or suffer an economic loss in the short run.
D) could earn an economic profit or break even, but could not suffer an economic loss in the short run.