Because the Marginal Product of a Variable Resource at First

Because the marginal product of a variable resource at first increases and then decreases as the output of the firm is increased,

A) total cost at first increases at a decreasing rate and then increases at an increasing rate.
B) total variable cost at first increases at an increasing rate and then increases at a decreasing rate.
C) average total cost at first increases and then diminishes.
D) average fixed cost will rise beyond the point of diminishing returns.Topic: Short-Run Production Relationships