The Average Fixed Cost (AFC)curve

question 18

Multiple Choice

The average fixed cost (AFC) curve

• A)Is U-shaped as a result of diminishing returns.
• B)Declines as long as output increases.
• C)Is intersected at its minimum point by marginal cost.
• D)Intersects the marginal cost curve at its minimum point.

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Definitions:

Man-Made

Something made or constructed by human beings rather than occurring naturally in the environment.

Permanent Magnets

Materials that maintain a persistent magnetic field without the need for continuous energy input.

Natural Magnets

Materials found in nature that possess magnetic properties capable of attracting iron, such as magnetite or lodestone.

Magnetic Poles

The two ends of a magnet where the magnetic field is strongest, conventionally labeled as the North and South poles.