The long-run average cost (LRAC) curve for a firm shows

Select one:

A.

the same cost and output levels as the short-run average cost curve.

B.

the lowest unit cost at which the firm can produce a given output.

C.

what happens to the fixed costs in the long run.

D.

the highest unit costs of producing a given output.

E.

the operation of the law of diminishing returns.

Clear my choice