​A Manager of a Clothing Firm Is Deciding Whether to Add

question 53

Multiple Choice

​A manager of a clothing firm is deciding whether to add another factory in addition to one already in production.The manager would compare

• A)​The total revenue gained from the two factories to the total costs of running the two factories.
• B)The marginal revenue expected from the second factory to the total costs of running the two factories.
• C)The marginal revenue expected from the second factory to the marginal cost of the second factory.
• D)​The total revenue gained from the two factories to the marginal costs of running the two factories.

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Definitions:

TSH

Thyroid-stimulating hormone, a pituitary hormone that regulates the production of hormones by the thyroid gland.

ACTH

Adrenocorticotropic hormone, a hormone produced in the pituitary gland that stimulates the adrenal cortex to release cortisol and other steroids.

Tetany

Tetany is a medical condition characterized by involuntary contraction of muscles, typically caused by abnormalities in calcium metabolism.

Blood Calcium

The concentration of calcium ions in the blood, essential for various physiological processes including bone formation, nerve function, and muscle contraction.