If the present value of all future profit is positive, then A) the fi

If the present value of all future profit is positive, then

A) the firm should remain operating, even if it earns negative profit in the short run.
B) the firm should shut down if it is earning a negative profit in the short run.
C) the firm should shut down if it cannot cover its fixed costs in the short run.
D) None of the above.

 

ANSWER

A

 

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