10:[["$","title","0",{"children":"CUET Economics - Which statement is incorrect in the context of relationship between AVC and SMC? | PYQs + Solutions | AfterBoards"}],["$","meta","1",{"name":"description","content":"undefined Option 1 -> Correct statement. When AVC is declining, marginal cost must be pulling it down, so SMC < AVC. Option 2 -> Correct statement. SMC intersects AVC from below at AVC's minimum point, which is a fundamental cost curve relationship. Option 3 -> Correct statement. When AVC is increasing, marginal cost must be pulling it up, so SMC > AVC. Option 4 -> Incorrect statement. SMC cuts AVC at the minimum point of AVC, not at the minimum point of SMC.

Hence, Option 4 -> The SMC curve intersects the AVC curve at the minimum point of AVC (not SMC). The minimum of SMC typically occurs at a lower output <=vel than the minimum of AVC. This is because marginal cost starts rising before avera>= variab<= cost reaches its minimum. The correct relationship is that SMC cuts AVC from below at the minimum point of AVC, where SMC = AVC. -> correct"}],["$","link","2",{"rel":"manifest","href":"https://www.afterboards.in/manifest.json","crossOrigin":"$undefined"}],["$","meta","3",{"name":"keywords","content":"CUETECO,ECO,Micro,Production & Costs"}],["$","meta","4",{"name":"robots","content":"index, follow"}],["$","meta","5",{"name":"category","content":"education"}],["$","meta","6",{"name":"google-site-verification","content":"google"}],["$","meta","7",{"property":"og:title","content":"CUET Economics - Which statement is incorrect in the context of relationship between AVC and SMC? | PYQs + Solutions"}],["$","meta","8",{"property":"og:description","content":"undefined Option 1 -> Correct statement. When AVC is declining, marginal cost must be pulling it down, so SMC < AVC. Option 2 -> Correct statement. SMC intersects AVC from below at AVC's minimum point, which is a fundamental cost curve relationship. Option 3 -> Correct statement. When AVC is increasing, marginal cost must be pulling it up, so SMC > AVC. Option 4 -> Incorrect statement. SMC cuts AVC at the minimum point of AVC, not at the minimum point of SMC.

Hence, Option 4 -> The SMC curve intersects the AVC curve at the minimum point of AVC (not SMC). The minimum of SMC typically occurs at a lower output <=vel than the minimum of AVC. This is because marginal cost starts rising before avera>= variab<= cost reaches its minimum. The correct relationship is that SMC cuts AVC from below at the minimum point of AVC, where SMC = AVC. -> correct"}],["$","meta","9",{"property":"og:url","content":"https://www.afterboards.in/past-year-questions/cuet-economics/2025/slot-14/12"}],["$","meta","10",{"property":"og:site_name","content":"AfterBoards | CUET Economics Preparation"}],["$","meta","11",{"property":"og:image","content":"https://www.afterboards.in/pyp/AfterBoards%20CUET%20Past%20Year%20Papers%20with%20Solutions.webp"}],["$","meta","12",{"property":"og:type","content":"website"}],["$","meta","13",{"name":"twitter:card","content":"summary_large_image"}],["$","meta","14",{"name":"twitter:site","content":"afterboards.in"}],["$","meta","15",{"name":"twitter:title","content":"CUET Economics - Which statement is incorrect in the context of relationship between AVC and SMC? | PYQs + Solutions"}],["$","meta","16",{"name":"twitter:description","content":"undefined Option 1 -> Correct statement. When AVC is declining, marginal cost must be pulling it down, so SMC < AVC. Option 2 -> Correct statement. SMC intersects AVC from below at AVC's minimum point, which is a fundamental cost curve relationship. Option 3 -> Correct statement. When AVC is increasing, marginal cost must be pulling it up, so SMC > AVC. Option 4 -> Incorrect statement. SMC cuts AVC at the minimum point of AVC, not at the minimum point of SMC.

CUET Economics 2025 29 May Shift 2 PYQs

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