The reason the marginal cost curve eventually increases as output increases for the typical firm is because:

Related MCQs

• If a firm’s average cost is Rs.32 at 6 units of output and Rs.34 at 7 unit, which one among the following is the marginal cost of producing the 7th unit
• If the long run average cost curve for a typical firm in an industry is downward sloping to the right it becomes difficult to sustain the assumption of
• If you know that with 8 units of output, average fixed cost is Rs. 12.50 and average variable cost is Rs. 81.25, then total cost at this output level is:
• If the demand curve is linear and negatively sloped, the marginal revenue curve has a slope:
• The sum of marginal propensity to consume plus marginal propensity to save must equal to:
• The total product curve may initially show output increasing at an increasing rate as more labour is hired because of the:
• Which cost is to be incurred by a firm even if output is zero:
• The Long run Average Cost curve (LAC) in modern cost theory is roughly
• Which would be an implicit cost for a firm? The cost:
• The MC curve cuts the AC curve at