In a monopoly market if ATC > AR:

CA Foundation · Business Economics · PYQS · January 2026
In a monopoly market if ATC > AR:
(A) A. Firm will earn normal profits
(B) B. Firm will earn super normal profits
(C) C. Firm will earn abnormal profit
(D) D. Firm will incur losses

Suggested Answer and Working Notes:

Correct Answer: Option (D)

D. Firm will incur losses

Topics: Price Determination in Different Markets

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