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