Final answer:
In economics, the marginal cost is the additional cost of producing one more unit of output. At their respective minimums, the marginal cost is equal to both the average variable cost and the average total cost.
Step-by-step explanation:
In economics, the marginal cost is the additional cost incurred by producing one more unit of output. The average variable cost is the total variable cost divided by the quantity of output, and the average total cost is the total cost divided by the quantity of output.
In a perfectly competitive market, the profit-maximizing firm chooses the output level where price or marginal revenue is equal to marginal cost. Therefore, true, at their respective minimums, the marginal cost is equal to both the average variable cost and the average total cost.