aAn increase in variable costs will increase the gradient of the total cost function. If variable costs fell the total cost function would become flatter. This would lower the break-even level of output and raise the margin of safety. With lower variable costs, fewer canoes need to be sold ...
A. diminishing returns set in. B. average fixed costs decrease as output increases. C. marginal costs decrease as output increases. D. economies of scale become apparent. 相关知识点: 试题来源: 解析 答案:B 反馈 收藏
aVariable costs may be defined as costs which increase directly in proportion to the volume of sales. As sales increase these costs will increase at the same rate. Examples of these costs are food, liquor and tobacco products. These costs are in most cases expressed as a percentage of sales...
A variable cost is an expense that changes in proportion to production output or sales. When production or sales increase, variable costs increase; when production or sales decrease, variable costs decrease. Variable costs stand in contrast to fixed costs, which do not change in proportion to pro...
If a factory produces 1000 units at a total cost of $3,000 and if by increasing the output by one unit the cost goes up to $3,002, the marginal cost of additional output will be $.2. 2.If an increase in output is more than one, the total increase in cost divided by the total...
The change in total variable cost resulting from a one-unit increase in the change in quantity is given by marginal cost (MC). As known, marginal...Become a member and unlock all Study Answers Start today. Try it now Create an account Ask a que...
When output volume increases, do variable costs per unit increase, decrease, or stay the same within the relevant range of activity? Explain. Which describes the typical relationship between variable costs and volume? a. Total variable costs increase in an erratic, unpredictable fashion with ...
Variable costs are defined with reference to a cost driver. A cost driver (also called activity base) is a variable such as quantity produced, direct labor hours, machine hours, kilometers travelled, etc. which drives the increase in total variable cost. ...
if a factory produces 1000 units at a total cost of $3,000 and if by increasing the output by one unit the cost goes up to $3,002, the marginal cost of additional output will be $.2. 2.if an increase in output is more than one, the total increase in cost divided by the total...
求翻译:An increase in variable costs will increase the gradient of the total cost function. If variable costs fell the total cost function would become flatter. This would lower the break-even level of output and raise the margin of safety. With lower variable costs, fewer canoes need to be...