In the Short-Run with Fixed Wages,the SAS Curve Is Positively

question 89

Multiple Choice

In the short-run with fixed wages,the SAS curve is positively sloped because

• A)the marginal product of labor declines,marginal costs rise.
• B)the marginal product of labor increases,marginal costs rise.
• C)marginal cost equals price and marginal costs decline.
• D)None of the above.

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Definitions:

Factory Overhead

Indirect manufacturing costs that are not directly tied to the production process, such as maintenance, utilities, and salaries of the manufacturing supervisors.

Job Order Cost System

An accounting method that tracks costs specifically associated with a job or project.

Custom Products

Goods that are tailored or made-to-order according to the specific requirements of customers.

Process Cost System

A financial recording method utilized to assign expenses to alike items that are manufactured on a large scale in an uninterrupted manner.