Assume Dell Computer Company Operates in a Perfectly Competitive Market

Multiple Choice

Assume Dell Computer Company operates in a perfectly competitive market producing 5,000 computers per day. At this output level, price exceeds this firm's marginal cost. To maximize profits, Dell should

A) make no adjustments as they are already maximizing their profits.
B) increase their output.
C) decrease their output.
D) stop producing since it is earning a loss.