Question

The marginal cost curve

(a) Lies below the ATC curve when the ATC curve slopes upward.
(b) Intersects the AFC and ATC curves at their respective minimum points.
(c) Lies above the AVC curve when the AVC curve slopes downward.
(d) Intersects the AFC and AVC curves at their respective minimum points.
(e) Intersects the AVC and ATC curves at their respective minimum points

Answer 1

c

Step-by-step explanation:

The marginal cost curve image has been attached from which we can clearly, indicate that

ATC = average total cost

AFC = average fixed cost

AVC = average variable cost.

From the graph we can indicate that the marginal cost curve

(c) Lies above the AVC curve when the AVC curve slopes downward.