As output increases, A) the difference between average total cost and average variable cost decreases. B) the difference between average total cost and average variable cost becomes greater and greater. C) marginal cost increases continuously. D) average variable cost becomes smaller and smaller.

Respuesta :

Answer:

D

Explanation:

Answer:

A) the difference between average total cost and average variable cost decreases.

Explanation: Difference between average total cost and average variable cost is equal to average fixed cost. Which continuously falls as output increases. So difference between ATC and AVC decreases as output increases.