If total cost increases as output increases,then:

Question

Quizplus · Accepted Answer

If total cost increases as output increases, it implies that producing more output requires more resources, which increases the marginal cost of production. Therefore, marginal cost must be positive. Option A is incorrect because if marginal cost is zero, then there is no change in total cost as output increases, which is contradictory to the given information. Option C is incorrect because a negative marginal cost implies that producing more output reduces total cost, which is not the case here. Option D may or may not be true depending on the shape of the marginal cost curve, but it is not necessarily true based on the information given.

If Total Cost Increases as Output Increases,then