Question

Question Completión Status QUESTION 36 Average total cost is very high when a small amount of output is produced because average variable cost is high average foxed cost is high marginal cost is high omarginal product is high QUESTION 37 Average total cost is increasing whenever total cost is increasing omarginal cost is increasing o marginal cost is less than average total cost o marginal cost is greater than average total cost QUESTION 38 Marginal cost equals total cost dvided by the quantity of output produced total output divided by the change in total cost O the slope of the total cost curve o the slope of the line drawn from the origin to the total cost curve QUESTION 39 f a firm produces nothing, which of the following.costs will be zero? total cost o fxed cost opportunity cost variable cost QUESTION 40 A production function is a relationship between inputs and the quantity of output inputs and revenue inputs and costs inputs and profits Click Seve and ub to sve ond umit. Cick Se All Aners to ae allanes MacBook esc F4 F3 F1 F2

Answer 1

1.ATC=AFC+AVC.

AFC falls with rise in output,so ATC rises because of increase in AVC.

Answer-First option.

2.ATC falls when MC is falling and rises when MC is rising.

Answer-Second option

3.MC is the ratio of change in total cost to change in output.

Answer-Third option

4.Variable cost is zero when output level is zero.

Answer-Variable cost.

5.Production function is relationship of inputs of production and output

Answer-First option