Given below are two statements. One is labelled as Assertion (A) and the other is labelled as Reason (R). Assertion (A): In the case of short-run cost behaviour, MC curve intersects AC curve at its minimum Reason (R): While AC continues to decrease, MC begins to rise. Also, when AC is at its minimum, it is neither increasing nor decreasing. It is constant when AC is constant, it is equal to MC at the point of intersection Choose the correct option from those below 1. Both A) and R) true and R) is the correct explanation of A)2. Both A) and R) true but R) is NOT the correct explanation of A)3. A) is true but R) is false4. A) is false but R) is true

Given below are two statements. One is labelled as Assertion (A) and t

1.	Given below are two statements. One is labelled as Assertion (A) and the other is labelled as Reason (R). Assertion (A): In the case of short-run cost behaviour, MC curve intersects AC curve at its minimum Reason (R): While AC continues to decrease, MC begins to rise. Also, when AC is at its minimum, it is neither increasing nor decreasing. It is constant when AC is constant, it is equal to MC at the point of intersection Choose the correct option from those below 1. Both A) and R) true and R) is the correct explanation of A)2. Both A) and R) true but R) is NOT the correct explanation of A)3. A) is true but R) is false4. A) is false but R) is true
A.	1
B.	2
C.	3
D.	4
Answer» B. 2