Which of the following is an expression of profit for a perf

Which of the following is an expression of profit for a perfectly competitive firm? Profit for a perfectly competitive firm can be expressed as 0 A. Profit-P-MC, where P is price and MC is marginal cost. B. Profit-P×Q, where P is price and Q is output. O c. Profit (P - ATC)xQ, where P is price, Q is output, and ATC is average total cost. 0 D. Profit-P-ATC, where P is price and ATC is average total cost. O E. Profit = (P×Q)-(TC × Q), where P is price, Q is output, and TC is total cost

Solution

The right answer is option C. (P - ATC) * Q

Explanation: Profit = Total Revenue - Total Cost = (Price * Quantity) - (Average total cost * Quantity) = P * Q - ATC * Q = (P - ATC) * Q