Which of the following statements about the relationship between marginal cost and average cost is correct?
A)When MC is falling,AC is rising.
B)AC equals MC at MC's lowest point.
C)When MC exceeds AC,AC must be rising.
D)When AC exceeds MC,MC must be rising.

Question

Quizplus · Accepted Answer

When marginal cost (MC) is greater than average cost (AC), it pulls the average cost up, causing AC to rise.

Which of the Following Statements About the Relationship Between Marginal