Rs. 5.00

Rs. 6.00

Rs. 7.00

Rs. 8.00

1unit.

2unit.

3unit.

4unit.

average fixed costs are rising.

average total costs are falling.

average total costs are rising

average total costs are minimized

average total costs are falling

average total costs are rising

average total costs are maximized

average total costs are minimized

an increase in average total costs.

diseconomies of scale

economies of scale

constant returns to scale