A Monopoly Responds to an Increase in Demand by _______

question 33

Multiple Choice

A monopoly responds to an increase in demand by _______ price and _______ output.

• A) increasing; decreasing
• B) increasing; increasing
• C) decreasing; increasing
• D) decreasing, decreasing

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Definitions:

Job Order Cost

A cost accounting system that accumulates costs according to specific jobs or orders, tracking the expenses related to individual products or projects.

Job Order Cost Systems

An accounting system used to assign costs to specific customer orders or batches, tracking the direct materials, direct labor, and overhead costs incurred for each.

Unit Costs

Unit costs, also known as cost per unit, represent the total expense incurred to produce, store, and sell one unit of a product or service, including direct and indirect costs.

Labor Costs

The total amount of money a business spends on employee salaries, wages, and other benefits.