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      Question

      Which of the following is correct regarding

      long run cost
      A It is the least cost of producing each level of output Correct Answer Incorrect Answer
      B LAC curve is envelope of SAC curves Correct Answer Incorrect Answer
      C LAC is U shaped Correct Answer Incorrect Answer
      D All of the above Correct Answer Incorrect Answer
      E None of the above Correct Answer Incorrect Answer

      Solution

      All of the above are correct for LRAC curve.

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