When Marginal Cost Is Greater Than Average Total Cost

question 7

Multiple Choice

When marginal cost is greater than average total cost,

• A)Average total cost must be increasing with output
• B)Average variable cost must be decreasing with output
• C)Average fixed cost must be increasing with output
• D)Marginal cost must be increasing with output

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Definitions:

Determinant

A factor or element that decisively affects the nature or outcome of something.

Quality of Life

The standard of health, comfort, and happiness experienced by an individual or group.

Human Being

A member of the species Homo sapiens; an individual characterized by the capacity for empathy, reasoning, and problem-solving.

Primary Goal

The main or most important objective that an individual or organization aims to achieve.