Multiple Choice
As a firm produces more units of a good, its
A) fixed costs remain constant in the short run and its variable costs rise.
B) variable costs decline in the short run and its fixed costs rise.
C) fixed and variable costs remain constant in the short run.
D) variable costs remain constant in the short run and its fixed costs fall.
E) none of the above
Correct Answer:

Verified
Correct Answer:
Verified
Q199: An unrecoverable cost that should be disregarded
Q200: In the long run, only variable costs
Q201: At 1,000 units of output, total cost
Q202: If the quantity of output rises as
Q203: The marginal physical product (MPP) of a
Q205: Exhibit 21-8<br><br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6992/.jpg" alt="Exhibit 21-8
Q206: Exhibit 21-14<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6992/.jpg" alt="Exhibit 21-14
Q207: The law of diminishing marginal returns holds
Q208: Exhibit 21-3<br><br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6992/.jpg" alt="Exhibit 21-3
Q209: "As additional units of a variable input