Which of the Following Statements About Costs Is Correct

question 245

Multiple Choice

Which of the following statements about costs is correct?

• A)When marginal cost is less than average total cost, average total cost is rising.
• B)The total cost curve is U-shaped.
• C)As the quantity of output increases, marginal cost eventually rises.
• D)All of the above are correct.

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Definitions:

Learned Desire

A preference or craving developed through experience or conditioning rather than inherent or instinctual.

Secondary Reinforcers

Stimuli that become reinforcing through their association with primary reinforcers, not inherently rewarding but learned to be so.

Fixed Interval Schedule

A schedule of reinforcement where the first response is rewarded only after a specified amount of time has elapsed.

Reinforcement Given

In behavioral psychology, a stimulus or reward that follows a behavior and increases the likelihood of that behavior being repeated.