What Is Total Variable Cost

question 114

Multiple Choice

What is total variable cost?

• A)Those costs that do not vary with the level of output.
• B)The total of all costs that vary with the level of output.
• C)The sum of both total fixed cost and marginal cost.
• D)The increase in total variable cost as a result of producing one more unit of output.

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Definitions:

Clean Air

Air that is free from pollutants and contaminants, ensuring environmental quality and public health.

Consumption

The use of goods and services by households or individuals for personal satisfaction or to fulfill their needs.

Artificially Excludable

Describes goods or services from which individuals can be prevented from using unless they comply with certain conditions, despite there being no natural reason for exclusion.

License Fee

A charge paid for obtaining legal permission to carry out a particular activity or to use a particular piece of intellectual property.