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The Figure Given Below Shows the Demand and Cost Curves

Question 90

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The figure given below shows the demand and cost curves of a perfectly competitive firm.Figure: 10.4
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 -In the short run, certain costs, such as rent on land and equipment, must be paid whether or not any output is produced. These are: A) the firm's variable costs. B) the firm's break-even costs. C) the firm's sunk costs. D) the firm's marginal costs. E) the firm's fixed costs. D: Demand curve
MC: Marginal cost curve
ATC: Average-total cost curve
AVC: Average-variable-cost curve
-In the short run, certain costs, such as rent on land and equipment, must be paid whether or not any output is produced. These are:


A) the firm's variable costs.
B) the firm's break-even costs.
C) the firm's sunk costs.
D) the firm's marginal costs.
E) the firm's fixed costs.

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