Post Utme Ims U 2019 Economics Question 26

Practice objective / multiple choice question 26 from the 2019 Post Utme Ims U Economics examination.

Post Utme Ims U 2019 Economics Objective / Multiple Choice
Question 26 POST_UTME_IMS_U • 2019 • ECONOMICS • objective
Post Utme Ims U 2019 Economics Question 26 diagram

Consider a firm operating in a perfectly competitive market. If the firm's marginal revenue (MR) curve intersects its marginal \cost (MC) curve at point E, where MR = MC, and the firm is producing at its profit-maximizing level of output, what is the implication of this intersection for the firm's short-run supply curve?

Answer Options

Correct Answer A. The firm's short-run supply curve is perfectly elastic.
B. The firm's short-run supply curve is perfectly inelastic.
C. The firm's short-run supply curve is upward-sloping.
D. The firm's short-run supply curve is horizontal.
Correct Answer
A
Correct Option:
The firm's short-run supply curve is perfectly elastic.

About This Question

This is Post Utme Ims U 2019 Economics Question 26. It is one of the objective questions from the 2019 Post Utme Ims U Economics examination.

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