Which of the following describes the relative positions of the demand curve and the average totalcost (ATC) curve of a monopolistically competitive firm that earns a profit in the short run?

A) In the short run, the firmʹs demand curve will lie above itsATCcurve. The demand curvewill be tangent to theATCcurve in the long run.

B) In the short run, the firmʹs demand curve will cross itsATCcurve at theATCcurveʹs lowestpoint. The demand curve will be above theATCcurve in the long run.

C) In the short run, the firmʹsATCcurve will cross the demand curve at the profit maximizinglevel of output. The demand curve will be tangent to theATCcurve in the long run.

D) In the short run, the firmʹs demand curve will lie below itsATCcurve. The demand curvewill be tangent to theATCcurve in the long run.