Asked by
Dylan Loftis
on Oct 25, 2024
Verified
Which of the following costs are always increasing as output increases?
A) Marginal Cost only
B) Fixed Cost only
C) Total Cost only
D) Variable Cost only
E) Total Cost and Variable Cost
Marginal Cost
The cost of producing one more unit of a good or service, which may change with the level of output.
Fixed Cost
Expenses that remain constant regardless of production or sales volume, including rent, salaries, and insurance.
Total Cost
The total of all costs associated with producing goods or services, encompassing both constant and fluctuating expenses.
- Comprehend and utilize cost principles such as variable, fixed, marginal, average, average variable, and average fixed expenses.
Verified Answer
MS
Learning Objectives
- Comprehend and utilize cost principles such as variable, fixed, marginal, average, average variable, and average fixed expenses.