A competitive firm operating in the short run is maximizing profits and just breaking even. Its costs include a monthly license fee of $150 that is imposed by the state and must be paid for as long as the firm is in existence. The license fee is now increasedto $200. In the short run, the profitmaximizing firm should: a. not change outputb. increase price. c.increase outputd. reduce output

Sye chase started and operated a small family architectural firm in 2016. the firm was affected by two events: (1) chase provided $25,000 of services on account, and (2) he purchased $2,800 of supplies on account. there were $250 of supplies on hand as of december 31, 2016. record the two transactions in the accounts. record the required year-end adjusting entry to reflect the use of supplies and the required closing entries. post the entries in the t-accounts and prepare a post-closing trial balance.