Expense a Is a Fixed Cost; Expense B Is a Variable

question 91

Multiple Choice

Expense A is a fixed cost; expense B is a variable cost.During the current year,the activity level has increased but is still within the relevant range.In terms of cost per unit of activity,you would expect which of the following statements to be true?

• A) Expense A has remained unchanged.
• B) Expense B has decreased.
• C) Expense A has decreased.
• D) Expense B has increased.

Differentiate between statements of fact (positive statements) and statements of opinion or policy (normative statements).

Apply understanding of economic models to interpret real-world economic activities and policies.

Evaluate the role of government and policy implications in economic statements.

Understand the concept and implications of the production possibility frontier (PPF).

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Definitions:

Pheromones

Substances created and emitted by an animal into the surroundings that influence the behavior or physical state of other members of its species.

Chemical Signals

Molecules released by organisms to communicate with each other, influencing behavior, physiology, or development.

Bloodstream

The flowing blood within the circulatory system of a body, responsible for transporting oxygen, nutrients, and wastes to and from cells.

Mating Systems

The patterns or strategies of reproduction, including the formation of pair bonds, that species follow to ensure the survival of their genes.