(Use Figure: Burgin's Cost Curves) Use the figure Burgin's Cost Curve. Burgin drew the marginal cost curve and average cost curve for a firm on his homework as shown in this figure. What mistake did Burgin make?
Figure: Burgin's Cost Curves
A) He switched the labels on the marginal cost curve and the average total cost curve.
B) He drew the average total cost curve as a U-shape when it should be a straight line.
C) He didn't draw the average total cost curve, the variable cost curve, plus the fixed cost.
D) He drew the marginal cost curve intersecting the average total cost curve in the wrong place.
Correct Answer:
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