If Production Involves Decreasing Opportunity Cost, the Production Possibilities Frontier

question 169

Multiple Choice

If production involves decreasing opportunity cost, the production possibilities frontier

• A)is "bowed inward."
• B)is a straight line.
• C)is "bowed outward."
• D)is a wavy line.
• E)has an unpredictable shape.

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Definitions:

Revenue

The total amount of money earned by a business from its operational activities, before any expenses are subtracted.

Equipment Account

An account on a company's balance sheet that reports the value of the equipment that the company owns.

Beginning Balance

The amount of money in an account at the start of a new accounting period.

Credit Side

The section of an account where increases in liabilities, income, and equity are recorded, as opposed to the debit side, which records increases in assets and expenses.