Which Statement Is NOT True? Variable Costs

question 80

Multiple Choice

Which statement is NOT true? Variable costs

• A) are equal to total costs in the long run.
• B) are zero if output is zero.
• C) are equal to the difference between total cost and total fixed cost.
• D) remain constant as output goes up.

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Definitions:

Call Increases

The rise in the value or price of call options, which are contracts granting the right to purchase a stock at a specified price within a certain period.

Value

The monetary, material, or assessed worth of an asset, good, or service.

Intrinsic Value

The true, inherent, and objective value of an asset, independent of its current market price, determined through fundamental analysis.

Market Price

The current price at which an asset or service can be bought or sold.