Which of the following statements is (are) TRUE?
I. If marginal cost is rising, the average total cost must be rising.
II. The marginal cost curve intersects both the average total and average variable cost curves at their minimum points.
III. If marginal cost is less than average variable cost, the average variable cost curve is negatively sloped.
A) I, II, and III
B) I and III
C) II
D) II and III

Question

Quizplus · Accepted Answer

The marginal cost curve intersects both the average total and average variable cost curves at their minimum points. If marginal cost is less than average variable cost, the average variable cost curve is negatively sloped.

Which of the Following Statements Is (Are) TRUE