Use the Following to Answer Question(s): Short-Run Costs

question 76

Multiple Choice

Use the following to answer question(s) : Short-Run Costs

-(Exhibit: Short-Run Costs) Curve A declines from a cost of about $50 and a quantity of 1 to a cost of about $40 and a quantity of 2 (point F) at which time it rises again.The declining segment is due to ________ marginal returns, and the rising segment is due to _______ marginal returns.

• A) decreasing; increasing
• B) diminishing; increasing
• C) increasing; diminishing
• D) increasing; constant

---

Definitions:

Backdraft

A dangerous explosive phenomenon that can occur when a fire is starved of oxygen and then oxygen is suddenly reintroduced, often during firefighting efforts.

Water Content

The amount of water contained in a material, expressed as a weight percentage of the material.

Wood-Based Smokes

Complex mixtures of particulate matter and chemicals produced by the incomplete combustion of wood materials, often containing toxic compounds.

Carbon Dioxide

An invisible, scentless gas that results from the combustion of carbon and organic materials, as well as from the process of respiration, utilized by plants in photosynthesis.