Whether the Firm Produces or Shuts Down in the Short

question 14

Multiple Choice

Whether the firm produces or shuts down in the short run, fixed cost is equal to

• A)average variable cost
• B)total cost
• C)sunk cost
• D)price
• E)marginal cost

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Definitions:

Virtual Teams

Groups of people who work together from different geographical locations, coordinated by communication technology.

Cross-functional Teams

Teams composed of members from different departments or functional areas working towards a common goal.

Operate

To control the functioning of; to use and manage a device, machine, process, or system.

Cross-functional Teams

Teams composed of members from different departments within an organization, brought together to achieve a specific goal.