If the Marginal Cost of Flying the Next Flight Is

question 20

Multiple Choice

If the marginal cost of flying the next flight is zero and one passenger is on the plane and has paid $50,

• A)fixed cost would still be covered.
• B)the passenger should be given a bus ticket.
• C)losses would get bigger.
• D)the next flight should be flown.

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Definitions:

Posterior Pituitary

The rear portion of the pituitary gland, which releases hormones such as oxytocin and vasopressin into the bloodstream.

Sympathetic Nervous

Part of the autonomic nervous system that prepares the body for physical activity by accelerating the heart rate, constricting blood vessels, and raising blood pressure.

Releasing Hormones

Hormones secreted by the hypothalamus that trigger the release of other hormones from the anterior pituitary gland.

Anterior Pituitary

The front lobe of the pituitary gland, which secretes hormones that regulate growth, metabolism, and reproductive functions.