If average variable costs are increasing while average total costs are decreasing, then
A) marginal cost must lie between average variable and average total costs.
B) marginal cost must equal average variable cost.
C) marginal cost must equal average total cost.
D) fixed costs must be zero.
Answer: A
Economics
You might also like to view...
Compared to other countries, the United States has a relatively low share of consumption spending in GDP
Indicate whether the statement is true or false
Economics
Which one of the following would count as investment in the GDP accounts?
a. Purchase of a new airplane by an airline. b. Purchase of a U.S. government bond. c. Purchase of 100 shares of Wal-Mart stock. d. Purchase of an existing house.
Economics