Which of the Following Statements About Average Costs Is False

Multiple Choice

Which of the following statements about average costs is false?

A) The difference between average total cost and average variable cost does not change as output increases.
B) Average fixed cost decreases as output increases.
C) Average variable cost first decreases and then increases as output increases.
D) Average total cost first decreases and then increases as output increases.
E) The difference between average total cost and average variable cost is average fixed cost.