Which of the Following Statements Is True

question 299

Multiple Choice

Which of the following statements is true?

• A) The total variable cost curve decreases as output increases.
• B) The total variable cost curve shows the variable costs of production given current factor prices.
• C) Total variable cost is always greater than total fixed cost.
• D) Total variable cost is inversely related to output.

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Definitions:

Net Profits

The amount of money left after all expenses, taxes, and costs have been subtracted from total revenue.

Focal Leader

A primary leader who is the central point of guidance and decision-making within a group or organization.

Formal Authority

Official power given to an individual or group by an organization's rules or hierarchy to make decisions and direct others.

Follower

An individual who supports and is guided by another person or entity, often within a leadership context.