Cost and Revenue

Marginal cost is

• Total cost

• minimum cost

• Change in TC

Average cost is

• Total cost

• Cost per unit

• always zero

Average revenue is equal to

• Price

• Total revenue

• Total cost

Total revenue -total cost=

• average cost

• Profit

• Marginal cost

The shape of Average cost is

• upward sloping

• downward sloping

• U shaped

Marginal cost curve cuts Average cost curve at its

• highest point

• minimum point

• Never cuts

Total cost is a sum of Fixed cost and

• fixed revenue

• variable cost

• average cost

Cost which do not change with the level of output is

• marginal cost

• variable cost

• fixed cost

Cost of raw materials is an e.g of

• fixed cost

• variable cost

• none

Total revenue curve in perfect market is

• Upward sloping

• Downward sloping

• Both