If Marginal Cost Is Rising, Then Average Cost Must Be

question 230

True/False

If marginal cost is rising, then average cost must be rising.

---

Definitions:

S Corporation Election

A tax status election made by a corporation with the Internal Revenue Service to be taxed as a pass-through entity, avoiding double taxation on corporate income.

Shareholders' Consent

The approval or agreement by shareholders, often required for major company decisions, typically obtained through voting mechanisms.

Majority

Majority refers to more than half of a particular group or amount, often used to describe the requirement for decision-making in voting contexts.

Certificate of Authority

A document that grants a company the legal right to conduct business outside of its original state of registration.