The Figure Given Below Shows the Demand and Cost Curves

Multiple Choice

The figure given below shows the demand and cost curves of a perfectly competitive firm.Figure: 10.4
D: Demand curve
MC: Marginal cost curve
ATC: Average-total cost curve
AVC: Average-variable-cost curve
-Some competitive firms are willing to operate at a loss, in the short run, because:

A) their average variable cost is less than the price.
B) their fixed costs are less than their current losses.
C) their average total cost is less than the price.
D) they do not attempt to maximize profits or minimize losses.
E) their revenues are at least able to cover their fixed costs.