Exhibit 8-9 -An Increase in the Quantity of Capital Used by a Used

Multiple Choice

Exhibit 8-9
-An increase in the quantity of capital used by a firm

A) increases total costs at low levels of output but decreases total costs at high levels of output.
B) does not affect total costs.
C) increases fixed costs but has no effect on variable costs in the short run.
D) decreases average fixed cost.
E) decreases total costs at low levels of output but increases total costs at low levels of output.