Refer to the information provided in Figure 9.4 below to answer the question(s) that follow. 
Figure 9.4Refer to Figure 9.4. In the short run this firm should ________ and in the long run this firm should ________, if economic conditions do not change.
A. continue to produce where MC = MR; shut down
B. shut down; exit the industry
C. continue to produce where MC = MR; expand
D. exit the industry; shut down
Answer: B
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As a firm hires more and more workers:
A) the value of marginal product of the additional workers eventually increases. B) the marginal product of the additional workers remains the same. C) the value of marginal product of the additional workers remains the same. D) the value of marginal product of the additional workers eventually decreases.
An industry consists of three firms with equal annual sales. What is the industry's C4?
A. 0.75 B. 1.00 C. 0.58 D. There is not sufficient information to compute the industry C4.
Refer to Figure 23.4 for a perfectly competitive market and firm. Which of the following is most likely to occur, ceteris paribus?
A. The firm will shut down in the short run. B. The firm will increase output. C. The firm will exit in the long run. D. The firm will raise its price.
Insurance company assets will include:
A. only stocks. B. only bonds. C. only U.S. Treasury securities. D. stocks and bonds.