Which of the Following Is True About the Changes in Fixed

question 20

Multiple Choice

Which of the following is true about the changes in fixed cost?

• A) An increase in production will result in an increase in per unit fixed cost.
• B) A decrease in fixed cost will result in an increase in variable cost.
• C) An increase in production will result in a decrease in per unit fixed cost.
• D) A decrease in production will result in an increase in total fixed cost.

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Definitions:

Conditional

Relating to a statement or proposition that expresses a condition, often formulated as "if-then" statements.

Equivalent

Being equal in value, measure, force, effect, significance, etc.

Truth Value

The attribute assigned to propositions to determine their veracity, quantified as either true or false, crucial in various branches of logic.

Conditional

A logical statement that connects two propositions, such that the second proposition follows from the first, typically formulated as "if... then..."