-Refer to Figure 8

question 13

Multiple Choice

-Refer to Figure 8.6,which shows just three of a firm's various possible short-run average cost curves.Suppose the firm is currently producing 160 units at and average cost of $90 per unit.Which of the following statements is true?

• A) The firm could reduce its average cost by employing more capital
• B) The firm could reduce its average cost by employing less capital
• C) The firm is producing its output at the lowest possible long-run average cost
• D) The firm would increase its average cost if it used more capital

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Definitions:

U.S. Congress

The bicameral legislature of the federal government of the United States, consisting of two houses: the Senate and the House of Representatives.

Legislation

The process of making or enacting laws, which includes drafting, debating, passing, and implementing legal statutes and regulations.

Leadership Structure

The hierarchy and organization of leadership roles within an entity such as a company, government, or group, defining authority and responsibilities.

House

Short for the House of Representatives, one of the two houses of the United States Congress, the other being the Senate.