The Figure Given Below Shows the Revenue and Cost Curves

Multiple Choice

The figure given below shows the revenue and cost curves of a monopolistically competitive firm.Figure 12.4
MR: Marginal revenue curve
ATC: Average total cost curve
MC: Marginal cost curve
-One reason that monopolistically competitive firms often use celebrity endorsements is that:

A) the firm owners like to be around celebrities so they can feel important.
B) they can link their product's reputation with the celebrity's reputation.
C) celebrity endorsements are comparatively inexpensive.
D) they can have the celebrity as their potential customer.
E) firms like to spend a lot on advertisements.