6 Views

Question : Which of the following cost curve is never  'U' shaped?

Option 1: Marginal cost curve .

Option 2: Average variable cost curve .

Option 3: Average fixed cost curve .

Option 4: Average cost curve 


Team Careers360 5th Jan, 2024
Answer (1)
Team Careers360 24th Jan, 2024

Correct Answer: Average fixed cost curve .


Solution : Correct Answer is  Average fixed cost curve .

A rectangular hyperbola represents the average fixed cost (AFC) curve. Because TFC is constant at all output levels, the area under the curve is also constant. The typical fixed cost curve never has a U-shape. Because fixed costs are spread out over a larger volume as production volume increases, the average fixed costs AFC curve slopes downward.

How to crack SSC CHSL

Candidates can download this e-book to give a boost to thier preparation.

Download Now

Know More About

Related Questions

TOEFL ® Registrations 2024
Apply
Accepted by more than 11,000 universities in over 150 countries worldwide
Manipal Online M.Com Admissions
Apply
Apply for Online M.Com from Manipal University
View All Application Forms

Download the Careers360 App on your Android phone

Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile

150M+ Students
30,000+ Colleges
500+ Exams
1500+ E-books