At 150,000 Units of Output, a Firm's Marginal Cost Is

question 212

Multiple Choice

At 150,000 units of output, a firm's marginal cost is $0.87 and its average total cost is $0.48.We can conclude that at this quantity of output the firm's average total cost curve is:

• A) upward-sloping.
• B) downward-sloping.
• C) vertical.
• D) horizontal.

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Definitions:

Dichotomous Conclusions

Findings or results that present an either-or situation, typically dividing outcomes into two distinct categories without overlap or continuum.

Universal Truth

A fundamental principle or fact that is valid at all times and in all places.

Scientific Method

A systematic and logical approach to discovering how things in the universe work, involving observation, hypothesis, experimentation, and conclusion.

Method of Authority

The acceptance of information or knowledge based on the credibility or expertise of the source, rather than on empirical evidence.