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A theory is
Supply Curve
A graph showing the relationship between the price of a good and the amount of the good that suppliers are willing to sell.
Marginal Cost Curve
A graphical representation showing how the cost of producing one more unit of a good varies with the level of output.
Average Revenue
Total revenue from the sale of a product divided by the quantity of the product sold (demanded); equal to the price at which the product is sold when all units of the product are sold at the same price.
Average Cost
is the cost per unit of output, calculated by dividing total costs by the total quantity of output produced.
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