Multiple Choice
Which of the following statements is true?
A) If the marginal product of labor diminishes, the average fixed cost rises.
B) If the marginal product of labor diminishes, the average variable cost is constant.
C) If the marginal product of labor diminishes, the marginal cost falls.
D) If the marginal product of labor diminishes, the average total cost rises.
E) If the marginal product of labor diminishes, the total cost rises at a diminishing rate.
Correct Answer:

Verified
Correct Answer:
Verified
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