Whenever the Marginal Cost Curve Lies Below the Average Total

question 129

Multiple Choice

Whenever the marginal cost curve lies below the average total cost curve, the:

• A) average variable cost is increasing.
• B) average variable cost is decreasing.
• C) average total cost is increasing.
• D) average total cost is decreasing.

---

Definitions:

Statistics

The science of collecting, analyzing, interpreting, and presenting data to make informed decisions or predictions.

Mean

In statistics, the average value of a set of numbers, calculated by dividing the sum of all values by the count of values.

Median

is a statistical measure indicating the middle value in a set of data when arranged in numerical order, effectively dividing the dataset into two halves.

Rate

A measure or quantity across a specific time frame, commonly used to calculate speed, frequency, or incidence.