If the Marginal Cost of the 100th Unit Is $3

question 31

Multiple Choice

If the marginal cost of the 100th unit is $3.25, the total cost of producing 100 units is $825, and the fixed cost is $500,

• A) average variable cost is higher than marginal cost.
• B) marginal cost is falling.
• C) average variable cost is at its minimum.
• D) average total cost is increasing.

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Definitions:

Composition

The way in which something is made up, arranged, or put together, often referring to writing, music, or the arrangement of visual elements in art.

Nonverbal Communication

The process of conveying a message without the use of words, through gestures, facial expressions, and body language.

Rule-bound

Describes situations, systems, or behaviors that are strictly governed by formal rules and regulations.

Nonverbal Cues

Forms of communication that do not involve words, such as gestures, body language, facial expressions, and eye contact.