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Title: When a profit-maximizing firmís fixed costs are considered sunk in the short run, then the firm

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Q:

When a profit-maximizing firm’s fixed costs are considered sunk in the short run, then the firm

           a.   can set price above marginal cost.

           b.   must set price below average total cost.

           c.    will never show losses.

           d.   can safely ignore fixed costs when deciding how much output to produce.


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Title: When a profit-maximizing firmís fixed costs are considered sunk in the short run, then the firm

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    • Posted Date: Apr 28, 2012 at 9:22:05 PM

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A:
...sp;        a.   can set price above marginal cost.    ...
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