Which of the following statements is true? a. If the marginal cost curve is above the AFC curve, the AFC curve must be rising. b. The AFC curve is horizontal as output increases. O c. As output increases, the average variable cost curve gets closer to the average total cost curve. O d. Average total cost equals average variable cost minus average fixed cost.

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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Which of the following statements is true?
a. If the marginal cost curve is above the AFC curve, the AFC curve must be rising.
Ob. The AFC curve is horizontal as output increases.
O c. As output increases, the average variable cost curve gets closer to the average total cost curve.
d. Average total cost equals average variable cost minus average fixed cost.
Transcribed Image Text:Which of the following statements is true? a. If the marginal cost curve is above the AFC curve, the AFC curve must be rising. Ob. The AFC curve is horizontal as output increases. O c. As output increases, the average variable cost curve gets closer to the average total cost curve. d. Average total cost equals average variable cost minus average fixed cost.
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