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1094 Vikrant singh
on Dec 08, 2024

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Marginal cost is ________ average variable cost when ________.

A) equal to; average total cost is minimized
B) less than; total cost is maximized
C) greater than; average fixed cost is minimized
D) equal to; average variable cost is minimized.

Average Total Cost

The total cost of production divided by the quantity of output produced, representing the per-unit cost of production.

Total Cost

The aggregation of all costs, both fixed and variable, incurred by a business in producing a specific quantity of goods or services.

Average Fixed Cost

The fixed costs of production divided by the quantity of output produced; it decreases as production increases.

  • Calculate and interpret marginal cost and its relationship with average variable cost and average total cost.
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Jennifer RiveraDec 09, 2024
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