The Manager of Greene Enterprises,Inc $A V C = 88 - 0.026 Q + 0.000003 Q ^ { 2 }$

question 29

Multiple Choice

The manager of Greene Enterprises,Inc.,recently estimated its average variable cost (AVC) function to be $A V C = 88 - 0.026 Q + 0.000003 Q ^ { 2 }$ Greene Enterprises faces total fixed costs (TFC) of $300,000.When Greene's output is 2,000 units,average variable cost (AVC) is

• A)rising
• B)falling
• C)greater than short-run marginal cost
• D)less than short-run marginal cost
• E)both b and c

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Definitions:

Succulent Leaves

Thick, fleshy leaves adapted for water storage, commonly found in plants that inhabit dry environments or soil conditions.

Aquatic Habitat

encompasses ecosystems in water environments, providing living space and necessary resources for aquatic organisms.

Cold Ecosystem

An ecosystem characterized by low temperatures and short growing seasons, often found in polar or high-altitude regions.