According to the Principle of Increasing Opportunity Cost, Expanding Production

question 71

Multiple Choice

According to the principle of increasing opportunity cost, expanding production requires using resources in which order?

• A) In random order.
• B) Starting with the resource with the highest opportunity cost and progressing to the lower opportunity cost resources.
• C) Starting with the resource closest to the average opportunity cost, then progressing to higher opportunity cost resources.
• D) Starting with the resource with the lowest opportunity cost and proceeding to the higher opportunity cost resources.

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Definitions:

Waste Minimisation

Strategies and processes implemented to reduce the amount of waste produced by a company or during a specific process.

Quadruple Bottom Line

A measure of company performance covering results in terms of economic, social, environmental, and cultural factors.

Company Performance

A measure of how well a company achieves its objectives, often assessed through financial, operational, and strategic metrics.

Economic

Pertaining to the production, distribution, and use of income, wealth, and commodities, focusing on the behaviors and decisions that influence an economy.