Which of the Following Statements About the Average Total Cost

question 33

Multiple Choice

Which of the following statements about the average total cost curve is false?

• A) it is initially downward sloping because increases in quantity make the average fixed cost smaller
• B) it eventually becomes upward sloping because the law of diminishing returns sets in
• C) it is always downward sloping because the average fixed costs will always decrease as quantity increases
• D) the marginal cost curve crosses the average total cost curve at the point at which average total cost is minimized

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Definitions:

Pith

The soft, spongy tissue at the center of plant stems, providing structural support and storing nutrients.

Vascular Bundles

Strand-like structures found in plants that contain xylem and phloem tissues, crucial for the transport of water, minerals, and nutrients.

Monocot Stem

The stem of a monocotyledonous plant, characterized by scattered vascular bundles and the absence of a vascular cambium.

Water Potential

A measure of the potential energy in water, influencing how water moves through an environment or organism.