Which of the Following Cost Relationships Is Not True

question 37

Multiple Choice

Which of the following cost relationships is not true?

• A)AFC = AC - MC
• B)TVC = TC - TFC
• C)The change in TVC/the change in Q = MC
• D)The change in TC/ the change in Q = MC

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Definitions:

Demand

A schedule of quantities of a good or service that people will buy at different prices; represented by D.

Domestic Interest Rates

The rate of interest charged by banks on loans and offered on deposits within a country's borders.

U.S. Investors

U.S. investors refer to individuals or entities within the United States that allocate capital with the expectation of receiving financial returns, engaging in activities like stock market investment, bonds, real estate, and more.

Foreign Investment

Investment by individuals, companies, or governments in assets or businesses located in another country.