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Question 20 (1 point) $20 $18 $16 ATC MC $14 $12 Cost of Sweatpants $10 $8 AVC $6 $4 $2 $0 0 1 2 8 9 10 3 4 5 6 7 Quantity of
-F -F +- $0 + 0 1 + 2 3 4 5 6 7 Quantity of Sweatpants 8 9 10 The above graph contains the average total cost, marginal cost,
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Answer #1

Answer
Option 1
$10

the long-run equilibrium price is the minimum average total cost as the firm faces zero economic profit in the long and produces at MC=ATC
where
P=MC=ATC=$10


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