AVC and AC
AFC and AVC
AC and AFC
All of the above
✅ The correct answer is A.
MC curve cuts AVC and AC curves at their minimum points. As long as MC is less than ATC, ATC will go down with each extra unit made. At some point, MC rises to the point that it equals ATC and the curves intersect.
MC curve cuts AVC and AC curves at their minimum points. As long as MC is less than ATC, ATC will go down with each extra unit made. At some point, MC rises to the point that it equals ATC and the curves intersect.