The marginal cost (MC) curve of a supplier in a competitive market will intersect the average variable cost (AVC) curveas the AVC is decreasing.at the AVC's minimum point.as the AVC is increasing.None of the above.

The average variable cost (AVC), average cost (AC) and marginal cost (MC) are ______ indicating that they start at high value, decline at decreasing rate and then at increasing rate. A. L-Shaped B. U-Shaped C. V-shaped D. W-Shaped

Given the table below: Explain the derivation and shape of each of these four curves and their relationships to one another. Specifically, explain in non-technical terms why the MC curve intersects both the AVC and ATC curves at their minimum points. Explain how the location of each curve graphed in question 3(b) would be altered if (1) total fixed cost had been $100 rather than $60 and (2) total variable cost had been $10 less at each level of output. TotalProduct TotalFixedCost ($) TotalVariableCost ($) TotalCost ($) Average FixedCost ($) Average Variable Cost ($) Average TotalCost ($) Marginal Cost ($)0 60 0 60        1 60 45 105 60.00 45.00 105.00 452 60 85 145 30.00 42.50 72.50 403 60 120 180 20.00 40.00 60.00 354 60 150 210 15.00 37.50 52.50 305 60 185 245 12.00 37.00 49.00 356 60 225 285 10.00 37.50 47.50 407 60 270 330 8.57 38.57 47.14 458 60 325 385 7.50 40.62 48.12 559 60 390 450 6.67 43.33 50.00 6510 60 465 525 6.00 46.50 52.50 75Shown are the related cost curves:    Identify which curve refers to:Variable Curve Variable CurveTotal costs Average total costs Variable costs Average variable costs Fixed costs Average fixed costs     Marginal costs

n the short run, if a supplier faces a price that is less than their average total cost (ATC) but above their average variable cost (AVC)the supplier should continue to operate to minimise losses.the supplier should increase quantity until marginal cost is equal to average total cost.the supplier should shut down.None of the above.

The short-run supply curve of a competitive firm is the portion ofGroup of answer choicesthe average variable cost curve that lies above its marginal cost curve.its marginal cost curve that lies above its average variable cost curve.its marginal cost curve that lies above its average total cost curve.its average total cost curve that lies above its marginal cost curve.

Which of the following is true when the marginal revenue in a perfectly competitive market is at a point where the intersection of MR and MC coincides with the ATC curve?MR = Marginal RevenueMC = Marginal CostATC = Average Total CostThe firm’s profit is on the rise.The firm is incurring losses with each unit sold.The firm's Total Revenue is less than its Total Cost.The firms have reached a point where its Total Revenue = Total Cost.