One of the Most Important Properties of Cost Curves Is

question 148

Multiple Choice

One of the most important properties of cost curves is that:

• A)the average fixed cost must eventually rise
• B)the average total cost curve first rises, then falls with increased output
• C)for most producers, the average total cost curve must never cross the marginal cost curve
• D)the marginal cost eventually rises with the quantity of output

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Definitions:

Group Performance Pay Plan

A compensation plan where a group of employees receives bonuses or pay based on the collective performance of the group.

Gain Sharing

A performance-based compensation strategy that rewards employees for contributing to their company's profitability through increased efficiency and productivity.

Profit Sharing

A company program in which employees receive a portion of the enterprise's profits, usually in addition to their regular compensation.

Organizational Performance Linkage

The connection between individual, team, or departmental performance and the overall success of an organization.