Perfectly competitive firm in the short run

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Reference no: EM13984940

If a perfectly competitive firm in the short run can sell its output at $2.50 per bushel and it has an average variable cost of $2.75 per bushel and a marginal cost of $2.50 per bushel it should

A. cut output to zero

B. do nothing at all; it is currently maximizing profits

C. expand output

D. advertise

E. raise its price

Reference no: EM13984940

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