give reasons of the following :-

  • why does AVC's minimum point comes much more before the minimum point of AC?
  • why does MC curve cuts AC and AVC curve at their minimum points?
  • why does minimum point of MC curve comes much more before than AVC and AC curves?

AVC's minimum cost will come before Ac's because there will be difference of AFC which cannot vanish. Ac will always remain above AVC.

MC cuts AC and AVC at minimum points because it attains its minimum before them and it pulls up these curves when it starts rising.

Minimum point of MC comes before AVC and AC becauserate of fall in MC is greater than that in AC and AVC while MC

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