If Franco's Pizza Parlor Knows That the Marginal Cost of the 500^th

question 530

Multiple Choice

If Franco's Pizza Parlor knows that the marginal cost of the 500^th pizza is $3.50 and that the average total cost of making 499 pizzas is $3.30, then

• A)average total costs are rising at Q = 500.
• B)average total costs are falling at Q = 500.
• C)total costs are falling at Q = 500.
• D)average variable costs must be falling.

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Definitions:

Clinical Observation

The process of systematically watching and noting the manifestations of a disease or the effects of a treatment over time in a clinical setting.

Nervous System

The network of nerve cells and fibers that transmits nerve impulses between parts of the body, responsible for coordinating and controlling body activities.

Nonfluent Aphasia

A condition characterized by reduced speech fluency due to language production difficulties, often as a result of brain damage.

Broca's Area

A region in the frontal lobe of the brain associated with speech production and language processing.