Please solve the below questions:

1. For a natural monopoly, the marginal cost of producing an additional unit of its product is relatively small.

True

False

2. Since a firm in a perfectly competitive market is a price taker, the demand for this firm's product is essentially a horizontal line.

True

False

3. As marginal cost rises, average variable cost necessarily rises.

True

False

4. The law of diminishing returns only applies in case where there is at least one fixed factor of production.

True

False

5. At its minimum point, the average total cost curve is intersected by the average variable cost curve.

True

False