question 30\nthe graph illustrates the cost and revenue curves of a perfectly competitive firm. the point…

question 30\nthe graph illustrates the cost and revenue curves of a perfectly competitive firm. the point that illustrates the firm maximizing profit in long - run equilibrium is which of the following?\na) point a\nb) point b\nc) point c\nd) point d\ne) point e

question 30\nthe graph illustrates the cost and revenue curves of a perfectly competitive firm. the point that illustrates the firm maximizing profit in long - run equilibrium is which of the following?\na) point a\nb) point b\nc) point c\nd) point d\ne) point e

Answer

Brief Explanations:

In a perfectly - competitive firm, in long - run equilibrium, price (P) equals marginal cost (MC) and average total cost (ATC), i.e., P = MC = ATC. This occurs at the minimum of the ATC curve. At this point, economic profit is zero. Looking at the graph, the point where MC intersects ATC at its minimum is point d.

Answer:

D. Point d