Question: The figure below represents a situation faced by a firm, use this graph to answer question 4 and 5. $ MC ATC D MR Q1

The figure below represents a situation faced by a firm, use this graph to answer question 4 and 5. $ MC ATC D MR Q1 Q2 Q 4. This firm is earning a: A) Accounting Loss B) Economic Loss. C) Economic Profit. D) Not enough information to determine an Economic/Accounting Loss or Profit. 5. For a firm in the figure above, the profit-maximizing (or loss-minimizing) price and level of output are: A) P1 and Q1. B) P2 and Q2. C) P1 and Q2. D) P4 and Q1. E) Unable to determine

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