Decide whether the following statements are true or false and explain why.
a. A decision maker must always use the historical cost of raw materials in making an economic decision.
h. The marginal cost curve always intersects the average cost curve at the average cost's i lowest point.
c. The portion of the long-run cost curve that is horizontal indie ales that the firm is experiencing neither economies nor diseconomies of scale.
d. Marginal cost is relevant only in the short-run analysis of the firm.
e. The rational firm will try to operate most efficiently by producing at the point where its average cost is minimized.