Question $6$

When will a firm in perfect competition make an economic profit, break even, or incur an economic loss?

$3$ tries left

In the short run, the profit$-$maximizing firm will $$

A$.$ make an economic profit if it produces the quantity at which marginal cost is less than average total cost

B$.$ incur an economic loss if it produces the quantity at which average total cost exceeds marginal revenue

C$.$ incur an economic loss if it produces the quantity at which average fixed cost exceeds marginal revenue

D$.$ break even if marginal revenue equals marginal cost