A Firm Enjoys a Positive Economic Profit When

Multiple Choice

A firm enjoys a positive economic profit when:

A) the demand curve touches the average cost curve at the profit maximizing level of output.
B) the marginal revenue curve has a negative intercept in the ordinate axis.
C) the average revenue curve lies below the average cost curve at the profit maximizing level of output.
D) the marginal cost is declining at the profit maximizing level of output.
E) the average revenue curve lies above the average cost curve at the profit maximizing level of output.