Identify the two cost curves which start from the same point on the Y axis ........

Economics- Phase (I & II) Investment Function

Identify the two cost curves which start from the same point on the Y-axis:

TVC and TFC

TFC and TVC

TFC and TC

TFC and AFC

- Total Fixed Cost (TFC): A cost that doesn't change with the output. On a graph, it starts at a positive value on the Y-axis and remains horizontal.

- Total Variable Cost (TVC): Depends on output. Starts from the origin on the Y-axis because if there's no production, there's no variable cost.

- Total Cost (TC): The sum of TFC and TVC. It starts at the same point as TFC on the Y-axis since fixed costs exist even when output is zero.

- Average Fixed Cost (AFC): Derived from TFC but decreases as output increases. Starts high but doesn't align with TFC on the Y-axis originally.

- Correct Answer: Option 3 - TFC and TC.

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