Question: If marginal cost ( MC ) is $12 and average variable cost ( AVC ) is $10, then AVC A. is at a maximum. B.

If marginal cost ( MC) is $12 and average variable cost ( AVC) is $10, then AVC

A.

is at a maximum.
B.

is decreasing.
C.

is at a minimum.
D.

is increasing.

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