If a Firm's Marginal Cost Is Smaller Than Its Average

question 98

Multiple Choice

If a firm's marginal cost is smaller than its average total cost, its average total cost is

• A)increasing.
• B)constant.
• C)decreasing.
• D)not U-shaped.

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Definitions:

Medicinal Value

The importance or potency of a substance in preventing, alleviating, or curing diseases.

Fungus

A kingdom of spore-producing organisms feeding on organic matter, including molds, yeast, mushrooms, and toadstools.

Bacteria

Microscopic, single-celled organisms that exist in almost every environment on Earth.

Regulation

The control or management of a process or activity, often by rules or laws.