1. On a cost chart showing AFC, AVC, and ATC,

A) AFC remains constant as Q increases.
B) AFC continues to slope downward as Q increases
C) AVC continues to slope downward as quantity increases.
D) ATC continues to slope downward as quantity increases.
E) the lowest point on the ATC is to the left of the lowest point on AVC.

2. Looking at a graph of AFC, AVC, and ATC,

A) AFC is equal to the difference between ATC and AVC at any quantity.
B) AVC starts to go down and then rises.
C) ATC starts to go down and then rises.
D) AFC is equal to a point on AFC minus 0.
E) all of the above answers are correct.

3. The lowest point on the AVC compared to ATC is

A) to the left of the lowest point on ATC.
B) equal to the lowest point on ATC.
C) to the right of the lowest point on ATC.
D) equal to the lowest point on AFC.
E) is below the lowest point on AFC.