Graph 13-2 This Graph Depicts a Total Cost Function

question 165

Multiple Choice

Graph 13-2 This graph depicts a total cost function for a firm that produces cookies.Use the graph to answer the following question(s) .
-Refer to Graph 13-2.Which of the statements below is most consistent with the shape of the total cost curve?

• A)producing additional cookies is equally costly, regardless of how many cookies are already being produced
• B)producing additional cookies becomes increasingly costly only when the number of cookies already being produced is large
• C)producing an additional cookie is always more costly than producing the previous cookie
• D)total production of cookies decreases with additional units of input

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Definitions:

Permafrost

Of arctic tundra, a perpetually frozen layer of soil that prevents water from draining.

Biome

A region (often discontinuous) characterized by its climate and dominant vegetation.

Rainfall

The amount of precipitation, in the form of liquid water drops, that falls to the ground from clouds.

Corals

Marine invertebrates in the class Anthozoa that often live in compact colonies; they are major contributors to the physical structure of coral reefs.