The point of minimum average cost at which the supply curve cuts the long run average cost (LRAC) curve is called ----------------- of a firm. Option 1: Profit Maximization point. Option 2: Shut-Down point. Option 3: Break-Even point. Option 4: Abnormal profit point.

The answer is 'Break-Even point.'. View full solution:

CUET Economics - The point of minimum average cost at which the supply curve cuts the long run average cost (LRAC) curve is called ----------------- of a firm. | PYQs + Solutions

CUET Economics 2026 11th May Shift 2

Micro

Medium

Profit Maximization point.

Shut-Down point.

Break-Even point.

Abnormal profit point.

✅ Correct Option: 3

Related questions:

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A positive level of output at which a firm's profit is maximised must hold some conditions, Identify those conditions from the following:

A. The price must equal to marginal cost.

B. Marginal cost must be non-decreasing.

C. Price must be greater than or equal to the average variable cost.

D. The price should less than marginal cost.

Select the correct option from the following:

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Match List-I with List-II

Choose the correct answer from the options given below: