Which statement is true?

A) The minimum point on the firm's marginal cost curve is the shutdown point.
B) The minimum point on the firm's marginal cost curve is the break-even point.
C) The minimum point on the firm's average variable cost curve is the shutdown point.
D) The minimum point on the firm's average total cost curve is the shutdown point.

Marginal Cost Curve

A graphical representation that shows how the cost of producing one additional unit of a good changes as production volume changes.

Average Variable Cost Curve

A graphical representation that shows how the cost per unit of producing a variable quantity of goods changes as the quantity of output is altered.

Break-even Point

The point at which total costs and total revenue are equal, meaning a business is not making a profit but also not incurring any losses.