If a firm's total cost rises as output rises,then
A)marginal cost is positive
B)profit cannot be maximized
C)total cost is minimized
D)marginal cost equals marginal revenue
E)the firm should shut down in the short run

Question

Quizplus · Accepted Answer

If a firm's total cost rises as output rises, it means that the firm is facing increasing marginal costs, which indicates that the cost of producing an additional unit of output is higher than the cost of the previous unit. Therefore, the answer is A, as it implies that the marginal cost is positive.

If a Firm's Total Cost Rises as Output Rises,then