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Which statement about the short-run is true? Group of answer choices Marginal cost intersects the maximum...

Which statement about the short-run is true? Group of answer choices

Marginal cost intersects the maximum of average variable cost.

Marginal cost intersects the minimum of average variable cost

. Marginal cost intersects the minimum of average fixed cost.

None of the other answers is correct.

Marginal cost intersects average total cost at the minimum of marginal cost

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Answer #1

Answer -
Marginal cost intersects average total cost at the minimum of marginal cost.
Explanation - The marginal cost of producing next additional unit of output will affects average total cost,so when marginal cost is less than average total cost, average total cost will reduce. As a result marginal cost of producing other unit will be more than average total cost and average total cost will start to increase.

All other given statements regarding short run are false.

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