As a Firm Expands Its Output, Cost Per Unit of Output

question 307

Multiple Choice

As a firm expands its output, cost per unit of output (average cost) decreases and then increases. Average cost and output have

• A) a relationship with a minimum.
• B) a relationship with a maximum.
• C) no relationship.
• D) a linear positive relationship.

---

Definitions:

Autonomic

Refers to functions of the body that occur automatically, without conscious thought, such as heart rate and digestion.

Somatic

Pertaining to the body, especially as distinct from the mind.

Interneurons

Neurons that are found exclusively within the central nervous system and act as intermediaries between sensory or motor neurons and the central nervous system.

Sensory Neurons

Sensory neurons are nerve cells that transmit sensory information (e.g., touch, sound, vision) from the body's periphery to the central nervous system.