Which of the Following Models Is Used Quite Often to Capture

question 3

Multiple Choice

Which of the following models is used quite often to capture decreasing or increasing marginal effects of a variable?

• A)Models with logarithmic functions
• B)Models with quadratic functions
• C)Models with variables in level
• D)Models with interaction terms

---

Definitions:

Process Costing

An accounting methodology used to allocate costs to units of product in processes where the products are indistinguishable from each other.