The Figure Given Below Represents a Firm in a Market

Multiple Choice

The figure given below represents a firm in a market characterized by many buyers and one seller.MC represents the marginal cost, MR the marginal revenue, and D the demand curve of a firm.The firm is initially in equilibrium producing 6 units of output at a price of $10 per unit.


-Refer to Figure .Suppose the adoption of a new technology lowers the cost of production while the buyer's valuation remains unchanged.Which of the following changes will be observed by the firm?

A) The demand curve for its product will shift to the left.
B) The marginal cost curve will shift downward.
C) The equilibrium output of the firm will fall below 6 units.
D) The marginal revenue curve will shift downward.