if average total cost is falling as output increases then ma
if average total cost is falling as output increases, then marginal costs must be falling as well (T or F)
Solution
Average total cost=Total cost/Units of output
As units of output rises ,average total cost falls
Marginal cost=Change in total cost / change in output
Marginal cost curve intersects Average cost curve at its minimum.
When Average cost curve was falling,Marginal cost curve had already statred rising.
So its a false statement.
