Which one of the following statements is true to the relationship among the average cost functions?
A. ATC = AFC – AVC.
B. AVC = AFC + ATC.
C. AFC = ATC + AVC.
D. AFC = ATC – AVC.
Answer:D
Which one of the following statements is true to the relationship among the average cost functions?
A. ATC = AFC – AVC. B. AVC = AFC + ATC. C. AFC = ATC + AVC. D. AFC = ATC – AVC.