Which of the Following Sets of Preferences Can Not Satisfy

question 349

Multiple Choice

Which of the following sets of preferences can not satisfy the property of transitivity?

• A) Plan A is preferred to plan D. Plan D is preferred to plan B. Plan C is preferred to plan B.
• B) Plan A is preferred to plan B. Plan B is preferred to plan C. Plan A is preferred to plan C.
• C) Plan C is preferred to plan A. Plan B is preferred to plan A. Plan C is preferred to plan c.
• D) Plan D is preferred to plan d. Plan C is preferred to plan B. Plan B is preferred to plan D.

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Definitions:

Variable Cost

Expenses that vary in relation to the amount of products or services a company generates.

Fixed Cost

Costs that do not change with the level of production or sales, such as rent, salaries, and loan repayments.

Economies of Scale

The cost advantages that a business can exploit by expanding their scale of production, leading to a lower cost per unit.

Diseconomies of Scale

Increased costs per unit that occur when a company grows too large, leading to inefficiencies.