This table shows the total costs for various levels of output for a firm operating in a perfectly competitive market.PriceQuantityTC$500$10.00$501$20.00$502$27.50$503$77.50$504$147.50$505$250.00According to the table shown, the firm's marginal costs:
A. decrease until the 2nd unit, then increase.
B. increase as output increases.
C. increase until the 4th unit, then decrease.
D. are constant.
Answer: A
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