Whenever Marginal Cost Is Positive, Average Cost Curves Are Upward

question 228

True/False

Whenever marginal cost is positive, average cost curves are upward sloping.

---

Definitions:

Sales Revenue

The gross revenue is the entirety of income that comes from selling products or services, prior to deducting any costs.

Total Invested Capital

The sum of a company's equity and debt capital, representing the total amount of capital invested in the business.

Profit Margin

A financial performance ratio that shows the percentage of profit a company makes for each dollar of sales.

Gross Margin

The difference between sales revenue and the cost of goods sold, expressed as a percentage of sales revenue.