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Management · Q337

Managerial Economics

Graduate and Post Graduate · Management · question 337

Q337

In conditions of pure competition, in which the demand for a firm's product is infinitely elastic, the firm's average revenue curve will be

A.
U shaped
B.
A horizontal straight line
Answer
C.
A vertical straight line
D.
A straight line at 45° to the horizontal axis

Answer: Option B

Solution

Answer: Option B
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