The Total Cost of Producing One Unit Is $50

question 98

Multiple Choice

The total cost of producing one unit is $50.The total cost of producing two units is $75.At a production level of two units,the cost function exhibits

• A) economies of scale.
• B) rising average costs.
• C) increasing marginal costs.
• D) constant returns to scale.

---

Definitions:

Addition Polymer

Polymers formed by the sequential addition of monomer units with double or triple bonds, resulting in a long chain molecule without the loss of any small molecule byproducts.

Orlon

A synthetic fiber known for its strength and resistance to weathering, often used in clothing and home furnishings.

Kevlar

A strong synthetic fiber known for its high tensile strength and thermal stability, used in body armor and various applications.

Poly(isobutylene)

Poly(isobutylene) is a polymer made from the monomer isobutylene, used in the manufacture of inner tubes, adhesives, and sealants.