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What condition is being met when goods are being produced and sold at the lowest possible average cost?

Accounting

What condition is being met when goods are being produced and sold at the lowest possible average cost?

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When goods are being produced and sold at the lowest possible average cost, productive efficiency is achieved. To achieve this, firms need to produce at a point which is the lowest point in the lowest average cost curve. When this happens, firms become competitive and can afford to sell even at low prices while still making profits.