The Cost to Produce an Additional Unit of Output Is

question 118

Multiple Choice

The cost to produce an additional unit of output is the firm's:

• A) variable cost
• B) average variable cost
• C) marginal cost
• D) productivity offset

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Definitions:

Optimum

The most favorable condition or highest achievable level of efficiency under the given circumstances.

Indifference Curves

Graphical representations in economics that show combinations of goods among which a consumer is indifferent.

Upward-sloping

A term used in economics to describe a curve that represents an increase in one variable as another variable increases, often used in the context of supply curves.

Preferences

Individual choices or tastes regarding various bundles of goods and services.