Short-Run Average Cost Is

question 83

Multiple Choice

Short-run average cost is

• A)always greater than long-run average cost.
• B)always less than long-run average cost.
• C)less than short-run marginal cost when short-run marginal cost is decreasing.
• D)both a and c
• E)none of the above

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Definitions:

Stock Securities

Shares of ownership in a corporation or financial assets representing such shares, which can be bought and sold in the stock market.

Debt Securities

Financial instruments representing a loan made by an investor to a borrower, typically including bonds, notes, and bills.

Conservative Approach

A financial strategy that opts for lower risk investment options to preserve capital and ensure long-term security.

Trading Securities Portfolio

A portfolio of securities that the holder actively manages and buys or sells with the intention of profiting in the short term.