Exhibit 8-5
-Refer to Exhibit 8-5. The curve marked II is the firm's
A)marginal cost curve.
B)average fixed cost curve.
C)total cost curve.
D)average total cost curve.
E)average variable cost curve.

Question

Exhibit 8-5 
-Refer to Exhibit 8-5. The curve marked II is the firm's
A)marginal cost curve. 
B)average fixed cost curve. 
C)total cost curve. 
D)average total cost curve. 
E)average variable cost curve.

Quizplus · Accepted Answer

The curve marked II is the average total cost (ATC) curve because it is the U-shaped curve that shows the average cost of producing each unit of output, including both variable and fixed costs. It is derived by dividing the total cost (TC) by the quantity of output (Q) produced.

Exhibit 8-5 -Refer to Exhibit 8-5. the Curve Marked II Is the II