The Marginal Product of an Input Is

question 107

Multiple Choice

The marginal product of an input is

• A) always positive.
• B) never positive.
• C) usually positive.
• D) always decreasing.
• E) always increasing.

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Definitions:

Activity Changes

Variations in the level of operations or production within a company, which can impact financial performance and management strategies.

Rental Charges

Fees incurred for the use of property or equipment that is not owned, usually on a periodic basis such as monthly or yearly.

Machine Hour

A unit of measure representing one hour of operating time for a machine, used in allocating manufacturing costs.

Fixed Cost

Operating expenses that do not change in proportion to the level of production or sales activity, such as rent or salaries.