1. a) How the shape of the total variable cost curve (TVC) and total cost curve (TC) is related with the law of diminishing marginal returns in the short-run. Support your explanations with graphs and...

   1.

a) How the shape of the total variable cost curve (TVC) and total cost curve (TC) is related with the law of diminishing marginal returns in the short-run. Support your explanations with graphs and formula/equations.

b) Explain why the short-run marginal cost curve (MC) must intersect the average variable cost curve (AVC) at the minimum of the AVC.