Math, asked by deveshg3938, 1 year ago

Why the short run the average fixed cost curve is hyperbola?

Answers

Answered by PiyushSinghRajput1
4
a. The average fixed costs AFC curve is downward sloping because fixed costs are distributed over a larger volume when the quantity produced increases. AFC is equal to the vertical difference between ATC and AVC. Variable returns to scale explains why the other cost curves are U-shaped.
Similar questions