In the Short-Run,if the Price Falls,the Firm Will Respond By

Multiple Choice

In the short-run,if the price falls,the firm will respond by:

A) liquidating its assets and shutting down.
B) producing at the output level where average variable cost is equal to marginal revenue.
C) reducing output along its marginal cost curve as long as marginal revenue exceeds average variable cost.
D) increasing its output in order to sell higher quantities.