Multiple choice questions. Costs, perfect competition. - Stratan

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Multiple choice questions. Costs, perfect competition. 1.At any level of output, the difference between the average total cost and the average variable cost is: (A) the marginal cost (B) the variable cost (C) the fixed cost (D) the average fixed cost (E) the average marginal cost 2.Which of the following formulas will calculate the average cost? (A) total cost minus variable cost divided by output (B) variable cost divided by output (C) total cost divided by output (D) the change in total cost divided by the change in total ouput (E) fixed cost minus variable cost divided by output 3. Which of the following formulas will always calculate the marginal cost: (A) total costs divided by output (B) variable cost divided by output (C) the change in total cost divided by one (D) the change in total output divided by the change in costs (E) the change in total costs divided by the change in output 4. In the short run, average costs will increase because: (A) there are no fixed resources (B) there is a fixed resource (C) there are economies of scale (D) marginal cost decreases (E) average fixed costs increases as output increases