When a Plant Is Operating at the Level of Output

question 5

Multiple Choice

When a plant is operating at the level of output where its short- run average total cost is at its minimum,

• A)marginal cost is at a minimum.
• B)average fixed cost is at a minimum.
• C)the plant is operating at its capacity.
• D)more of the variable factor of production should be employed.
• E)average variable cost is at a minimum.

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