Which of the following statements is true about marginal analysis?
A) Fixed costs vary with changes in the number of units sold.
B) Total cost is the sum of average fixed costs and average variable costs times the quantity produced.
C) Average variable cost equals variable cost times number of units sold.
D) Average fixed cost increases as the number of units produced increases.
E) Marginal cost equals fixed costs minus variable costs.

Question

Quizplus · Accepted Answer

The Answer of Which of the following statements is true about marginal analysis?
A) Fixed costs vary with changes in the number of units sold.
B) Total cost is the sum of average fixed costs and average variable costs times the quantity produced.
C) Average variable cost equals variable cost times number of units sold.
D) Average fixed cost increases as the number of units produced increases.
E) Marginal cost equals fixed costs minus variable costs.

Which of the Following Statements Is True About Marginal Analysis