FIGURE 8- 4 -Refer to Figure 8- 4. the Firm Is Initially Producing

question 44

Multiple Choice

FIGURE 8- 4
-Refer to Figure 8- 4. The firm is initially producing 1000 units and minimizing its production cost at point B. Suppose the prices of capital and labour each fall by 20 percent. If the firm wishes to continue producing the same level of output it will

• A) move toward point D.
• B) move toward point A.
• C) move toward point C.
• D) remain at point B.
• E) move to the left of point B.

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Definitions:

Molarity

A measure of concentration expressing the number of moles of a solute per liter of solution.

Diluting

The process of reducing the concentration of a solute in a solution, usually by adding more solvent.

Molarity

An indicator of solute density within a solution, measured in moles per liter of the solution.

NaCl

Sodium chloride, commonly known as table salt, an ionic compound formed from the chemical reaction between sodium and chlorine.