Styles Which of the following is NOT true about costs? A) It is possible for som
ID: 1132743 • Letter: S
Question
Styles Which of the following is NOT true about costs? A) It is possible for someone who could be making $100.000 a year in another job but who chooses to run a small business with total revenues of 590.000 in 2010 to make positive economic profit for that small business for 2010, The two factors accounting for the dramatic fall in average total cost over the initial phase of production are falling average variable cost and falling marginal costs B C) Averge variable cost does not begin to rise until marsinal cost exceeds average variable cost D) Average total cost does not begin to rise until marginal cost exceeds average total cost Question 3 0/ 1 point Which of the following is NOT true? A) Marginal product is the addition to total output resulting from increasing a given input by one unit a) Although marginal retums inbaly increase as inore of a spéchc inoutis aidded to a will begin a never ending decline e C) Increasing marginal returns in the early phases of output are refected by s falling marginal cost curve during that phase Eventually as marginal returns fall the marginal cost cürve will begin a never ending rse. DI it is falling marginal costs that cause the long and never ending fal in marginat retums Question 5 0 1 point English (United States)Explanation / Answer
Answer:- (1) Option (A) as he has more opportunity cost of doing business as he gets 1,00,000 per year and in business he gets 90,000 a year.
Answer:- (3) Option (b) is correct, as it is not the case that marginal cost will being never ending decline.
Answer:- (5) Option (D) is correct, As Accounting profit is not based on Opportunity cost.
Answer:-(6) Option (C) Normal profit may not be equal to Acounting profit.