A Production Possibilities Frontier Is Negatively Sloped Because

question 119

Multiple Choice

A production possibilities frontier is negatively sloped because

• A)more goods are purchased as price falls.
• B)of opportunity cost.
• C)some resources are unused.
• D)there is not enough capital in the economy.
• E)of increasing consumption.

---

Definitions:

Total Cost Assigned

The complete allocation of costs, both direct and indirect, to a specific product, service, or department.

Time-Driven Activity-Based Costing

A financial assessment technique that calculates costs based on actual activities and the duration it takes to complete them, giving accuracy in assigning costs to products.

Tech Support Department

A division of a company providing technical support and services to customers or internal users regarding technological products or services.

Unused Capacity

The available production or service ability that goes unused or is not utilized to its full potential.