Where Marginal Cost Is Less Than Average Total Cost

question 69

Multiple Choice

Where marginal cost is less than average total cost,

• A) opportunity cost must have been excluded from the calculation of marginal cost.
• B) marginal cost must be falling.
• C) marginal cost must be rising.
• D) marginal cost may be rising, falling, or constant.

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Definitions:

Compound Sentence

A sentence composed of at least two independent clauses, usually connected by conjunctions.

Clauses

Specific provisions or sections within a contract, legal document, or statute that detail particular requirements, rights, or obligations.

Contractions

The process in which muscles become shorter and tighter to perform a movement or, in the context of childbirth, the tightening and releasing of the uterus to facilitate delivery.