Suppose That in a Perfectly Competitive Industry,the Market Price for the Product

Multiple Choice

Suppose that in a perfectly competitive industry,the market price for the product is $130.A firm is producing the output level at which average total cost equals marginal cost,both of which are $138.Average variable cost is $132.To maximize profits in the short run,the firm should

A) reduce its output.
B) expand its output.
C) leave its output unchanged.
D) produce zero output.
E) change the price of the product.