Which Would Be Considered to Be One of the Factors

question 38

Multiple Choice

Which would be considered to be one of the factors that shift the aggregate supply curve? A change in:

• A)consumer spending.
• B)net export spending.
• C)government regulation.
• D)profit expectations on investment projects.

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Definitions:

Variable Overhead

Costs that fluctuate with production volume, such as utilities and raw materials, contrasting with fixed overhead costs.

Direct Materials

The raw materials that are directly traceable to the manufacturing of a product and included in the cost of the product.

Direct Labor-Hours

The number of labor hours expended directly on the production floor by employees actively engaged in manufacturing processes.

Variable Overhead

Variable overhead are those operating costs that vary with levels of output or activity, including utilities, supplies, and certain labor costs.