When Marginal Cost Exceeds Average Total Cost

question 289

Multiple Choice

When marginal cost exceeds average total cost,

• A)average fixed cost must be rising.
• B)average total cost must be rising.
• C)average total cost must be falling.
• D)marginal cost must be falling.

---

Definitions:

Prosperous Trade Center

A city or region that thrives economically due to its strategic location for trade, typically rich in resources or goods exchange.

Mesopotamia

An ancient region located in the eastern Mediterranean, bounded by the Tigris and Euphrates rivers, known as the cradle of civilization for its early developments in writing, law, and urbanization.

Patents

Legal documents granting an inventor exclusive rights to produce, use, and sell their invention for a certain period of time.

Technology

The application of scientific knowledge for practical purposes, especially in industry and in the creation of devices or processes that improve efficiency or quality of life.