When average cost is rising, marginal cost __________________.

must be rising

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may be constant

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might be decreasing

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none of the above

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Solution

The correct option is D must be rising
Relationship between MC and AC curve shows that when AC is rising, MC must be rising.

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When average cost is rising, marginal cost __________________.

The correct option is D must be risingRelationship between MC and AC curve shows that when AC is rising, MC must be rising.

The correct option is D must be rising
Relationship between MC and AC curve shows that when AC is rising, MC must be rising.