A firm will shut down in the short run if


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A firm will shut down in the short run if the total revenue that it would get from producing and selling its output is less than itsa.opportunity costs.b.fixed costs.c.variable costs.d.total costs.

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Answer: A firm will shut down in the short run if the total revenue that it would get from producing and selling its output is less than its C. variable costs.

Explanation: A variable cost is a cost that will vary depending on the level of output that is needed. If more units of an item are needed, the variable costs will likely rise whereas if the product numbers go down, they will too. A variable cost changes and a fixed cost stays the same regardless of the production amount.

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