(Solved): 2. The relationship between marginal and average costs The following scenario examines the relation ...

2. The relationship between marginal and average costs The following scenario examines the relationship between marginal and average values, 5 uppose Mina is a high schoci basketbali player. The following table presents their game-by-game results for foul shots. Fiil in the columns with Mina's foul-shooting percentage for each game and their overall foul-shooting average ahtir each game. On the foifowing graph, use the orange points (square symbol) to plot Minas fout ihooting percentage for each game individuail, and use ene greed paints (triangie symbol) to piot Mina's overaff average foul-shooting percentage after each game. Note: Piot your points in the order in which you would tike them connected, Line segments will connect the points automatically. You can think of the result in any one game as being Mina's marginal shooting percentage. Based on your previcus answer, you can decuce that ahen Mina's marginal shooting percentage is below the average, the average must be You can now apply this analysis to production costs, for a U-5haped average total cost (ATC) curve, when the marginal cost curve is below the average total cost curve, the average total cost must be Aiso, when the marginal cost curve is above the average total cost curve, the average total cost must be Therefore, the marginal cost curve intersects the averege total cost curve.