(Table: Cost Data) Look at the Table Cost Data

Multiple Choice

(Table: Cost Data) Look at the table Cost Data.When the purse factory produces five units of output (purses) , which of the following is true about the firm's cost curves?

A) Marginal cost is greater than average total cost, and average total cost is rising.
B) Average total cost is greater than average variable cost, and average variable cost is falling.
C) Marginal cost is below average variable cost, and average variable cost is falling.
D) Marginal cost is above average variable cost and below average total cost, and average total cost is rising.