Which of the following statements about the firm's short-run average product (AP) and marginal product (MP) curves is correct? a. TP begins to decrease when AP begins to decrease. b. TP is at its maximum when MP = O. c. When the MP curve cuts the AP curve from below, the AP curve begins to fall. d. AP is at its minimum when MP = AP. e. When MP > AP, AP is decreasing.
Which of the following statements about the firm's short-run average product (AP) and marginal product (MP) curves is correct? a. TP begins to decrease when AP begins to decrease. b. TP is at its maximum when MP = O. c. When the MP curve cuts the AP curve from below, the AP curve begins to fall. d. AP is at its minimum when MP = AP. e. When MP > AP, AP is decreasing.
Chapter11: The Firm: Production And Costs
Section: Chapter Questions
Problem 7P
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Q15
Which of the following statements about the firm's short-run average product (AP) and marginal product (MP) curves is correct?
a.
TP begins to decrease when AP begins to decrease.
b.
TP is at its maximum when MP = O.
c.
When the MP curve cuts the AP curve from below, the AP curve begins to fall.
d.
AP is at its minimum when MP = AP.
e.
When MP > AP, AP is decreasing.
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