If Output Increases

question 85

Multiple Choice

If output increases

• A) per-unit fixed cost will increase.
• B) total variable costs will increase.
• C) per-unit variable costs will increase.
• D) per-unit variable costs will decrease.

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Definitions:

Minimize Costs

The process of finding ways to decrease expenses and reduce the amount it costs to produce a good or offer a service.

Units of Labor

Quantitative measures representing the workforce or the effort exerted by workers in the production of goods and services.

Dress Factory

A manufacturing facility where dresses are produced in large quantities.

Production Isoquants

Curves that represent combinations of various inputs that result in the same level of output, used in the analysis of production technology.