If marginal cost is less than average variable cost and output increases, average total cost and average variable cost. Select one: OA. decreases; increases B. increases; decreases C. increases; increases D. decreases, decreases

Mboth the marginal cost and the average variable cost curves are U-shaped, at the minimum point of the average variable cost curve, the marginal cost curve must be greater than average total cost. less than average total cost. equal to averagn total cost. at its minimum.

As long as marginal cost is below average variable cost or average total cost , then average variable cost and average total cost ____ when output is increased. a. rises b. intersects c. falls d. are constant

K When marginal cost (MC) is falling, which of the following must be true? OA. Average variable cost (AVC) is increasing. OB. Average variable cost (AVC) is falling OC. Average total cost is increasing. O D. Average fixed cost (AFC) is increasing.

Which of the following costs will not change as output changes? 1. A. marginal cost 2 B. total variable cost 3. C. average variable cost 4. D. total fixed cost

When output is zero, total fixed cost is zero. O True O False

In the short run marginal cost crosses average total cost at the minimum of average total cost True or False?

The average total cost (ATC) curve will be downward sloping so long as the a. marginal cost is greater than average total cost. b. marginal cost is less than average total cost. c. average variable cost is less than average total cost. d. average fixed cost is less than average total cost

The difference between variable cost and fixed cost is that Select one: a. fixed cost is paid even when there is no output b. fixed cost is always falling as output increases c variable cost only increases for a while and then it decreases d. fixed cost is always less than variable cost e. fixed cost is not paid once production begins

Whereat for the firm operating at it efficient scale, a. the marginal cost curve intersects at the minimum point of AVC curve. b. the marginal cost curve intersects at the minimum point of ATC curve. c, the marginal cost curve intersects at the minimum point of AFC curve. d. the slope of total cost is the smallest.