Which of the Following Is Characteristic of Short-Run Costs Associated

question 68

Multiple Choice

Which of the following is characteristic of short-run costs associated with increasing levels of output?

• A)The difference between average total cost and average variable cost decreases.
• B)Average variable cost typically increases.
• C)Average total cost is equal to the difference between average variable cost and average fixed cost.
• D)Average fixed cost is constant.
• E)Marginal cost is equal to the difference between total cost and total variable cost.