Which of the Following Is True of the Profit Earned

Multiple Choice

Which of the following is true of the profit earned by a monopolist?

A) Profit is maximized where marginal revenue exceeds marginal cost.
B) Normal profit is ensured where price is equal to average total cost.
C) Normal profit is ensured where marginal cost exceeds average revenue.
D) Profit is maximized along the inelastic portion of the demand curve.
E) Economic profit is made where average variable cost equals marginal revenue.