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If ATC = $10,AVC = $6,AFC = $3 and MC

Question 58

Multiple Choice

If ATC = $10,AVC = $6,AFC = $3 and MC = $5,then if output increased by one unit:


A) MC will increase.
B) MC will decrease.
C) ATC will increase.
D) MC may be increasing or decreasing.
E) AFC will increase.

Correct Answer:

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