Average Total Cost Is Increasing Whenever

question 81

Multiple Choice

Average total cost is increasing whenever

• A)total cost is increasing.
• B)marginal cost is increasing.
• C)marginal cost is less than average total cost.
• D)marginal cost is greater than average total cost.

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Definitions:

Credits

Represents the amount of money or value added to an account or available for purchase on credit.

Accounting Period

A specific period of time used by businesses for accounting purposes to prepare financial statements, commonly a year or a quarter.

Cash Account

A ledger account that tracks all cash transactions, including receipts and payments.

Overdrawn Bank Balance

This occurs when withdrawals from a bank account exceed the available balance, resulting in a negative balance.