Use the Following Figure to Answer the Question : Figure

Multiple Choice

Use the following figure to answer the question : Figure 9-4 : shows the marginal cost curve,the average cost curve,the average variable cost curve,and the demand curve for a firm over different levels of output.The market price is $P.
-Refer to Figure 9-4.At a price of $P,the firm will produce the output level _____.

A) OA where marginal cost just covers AVC
B) OB where marginal cost equals the price
C) OC where marginal cost equals ATC
D) OD where the price just covers AVC