Worksheet 55.3: Practice with Cost Curves Answer the questions posed below regarding the appropriate curves presented. 1. Refer to the Figure 55.4: Cost of case $250 MC 200 150 ATC . AVC 100 M 50 . AFC 0 2 8 9 10 Quantity of salsa (cases) a. Where does MC cross the ATC and AVC curves? b. At the minimum-cost output, what can you say about ATC and MC? c. At any output less than the minimum-cost output, what can you say about ATC and MC? d. At any output greater than the minimum-cost output, what can you say about ATC and MC? 2. Economists believe that initially, marginal cost curves slope downward with output from zero to some point, and then slope upward at higher levels of production. Why