Consider the Following Statements When Answering This Question: I

question 138

Multiple Choice

Consider the following statements when answering this question: I. Whenever a firm's average variable costs are falling as output rises, marginal costs must be falling too.
II) Whenever a firm's average total costs are rising as output rises, average variable costs must be rising too.

• A) I is true, and II is false.
• B) I is false, and II is true.
• C) I and II are both true.
• D) I and II are both false.

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