producers equilibrium

UNDER PERFECT COMPETITION, MR CURVE IS

• HORIZONTAL

• VERTICAL

• FALLING

• RISING

WHEN AR IS ABOVE AC, FIRM EARNS

• SUPERNORMAL PROFIT

• LOSS

• BREAKEVEN POINT

• MINIMISE LOSSES

WHEN AR=AC , FIRM IS AT

• SUPERNORMAL PROFIT

• LOSS MAKING

• BREAKEVEN POINT

• MINIMISE LOSS POINT

WHEN AC IS MORE THAN AR, WHAT IS FIRM DOING

• MAKING SUPERNORMAL PROFIT

• INCURRING LOSS

• HAVING BREAKEVEN POINT

• MINIMISING LOSSES

BREAKEVEN POINT MEANS

• AR=AC

• TR=TC

• NO PROFIT, NO LOSS

• ALL THE ABOVE

Which of the following statements defines equilibrium.

• . State of rest

• Forces working in different directions are in balance

• Level of output at which profits are maximum

• Tendency to move in either directions

Profit is the difference between Total ___________ and Total _________.

• revenue, cost

• profit, cost

• both a and b

• . Tendency to move in either directions

When the level of output is Less than the level of output at Equilibrium, the profits of the producer are :-

• . Less than maximum profit

• . Maximum profit

• Decline from maximum level of profits

• none of the above