Consider the Following Total Cost Schedule for a Perfectly Competitive

Multiple Choice

Consider the following total cost schedule for a perfectly competitive firm producing ball-point pens.
TABLE 9-3
-Refer to Table 9-3.Suppose the prevailing market price for this firm's product is $0.14 and the firm is currently producing 20 units of output.This competitive firm wishing to maximize profits would

A) increase output because marginal revenue is greater than marginal cost.
B) decrease output because marginal revenue is less than marginal cost.
C) increase output because marginal revenue is less than marginal cost.
D) decrease output because marginal revenue is greater than marginal cost.
E) produce zero output because price is less than the minimum average variable cost.