Normal profits occur when ______________.

A R > A C

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A R = A C

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A R < A C

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T R > T C

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Solution

The correct option is D $A R = A C$
Normal profits occur when average revenue and average cost become equal.
Normal Profit occurs when TR=TCor, (TR/Q)=(TC/Q)
or, AR=AC

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Normal profits occur when ______________.

The correct option is D AR=ACNormal profits occur when average revenue and average cost become equal.Normal Profit occurs when TR=TCor, (TR/Q)=(TC/Q)or, AR=AC

The correct option is D $A R = A C$
Normal profits occur when average revenue and average cost become equal.
Normal Profit occurs when TR=TCor, (TR/Q)=(TC/Q)
or, AR=AC