Use the Following Table to Answer the Question Below: the Amount

question 89

Multiple Choice

Use the following table to answer the question below: The amount of total output produced from various combinations of labor and capital. $$\begin{array} { c c c c c c } & & { \text { Units af Capital } } \\ & & 1 & 2 & 3 & 4 \\& 1 & 50 & 120 & 160 & 180 \\\text { Units } & 2 & 110 & 260 & 360 & 390 \\\text { of } & 3 & 150 & 360 & 510 & 560 \\\text { Lebor } & 4 & 170 & 430 & 630 & 690 \\& 5 & 160 & 480 & 710 & 790\end{array}$$ If the capital stock is fixed at one unit,diminishing returns begin with the

• A)first unit of labor.
• B)second unit of labor.
• C)third unit of labor.
• D)fourth unit of labor.
• E)fifth unit of labor.

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Definitions:

Trading Securities

Marketable securities held by a firm with the intent of short-term trading for profit, which are classified as current assets on the balance sheet.

Accounting Principles

The foundational concepts and guidelines that govern the field of accounting, such as revenue recognition, matching principle, and full disclosure.

Extraordinary Item

Events or transactions that are both unusual in nature and infrequent in occurrence, impacting a company's financial position.

Selling Activities

Actions undertaken by a company to promote and sell its products or services, including advertising, sales promotions, and personal sales.