Which of the Following Statements Is True

Which of the following statements is true ?

A) To maximize profits, a firm must maximize total revenue.
B) In long-run equilibrium, a competitive firm produces at the point of minimum average total cost.
C) In the short-run, a perfectly competitive firm produces where total cost is minimum.
D) In the short-run, a perfectly competitive firm will close down whenever price is less than average total cost.

Correct Answer:

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