Changes in the short-run total costs result from changes in only
A)variable costs.
B)fixed costs.
C)zero.
D)total fixed costs.

Question

Quizplus · Accepted Answer

Short-run total costs can change due to changes in the levels of variable costs, such as wages or raw materials, but fixed costs, such as rent or depreciation, remain unchanged in the short-run. Therefore, option A is correct. Option B is incorrect because fixed costs do not change in the short-run. Option C is incorrect because any changes in costs will have an impact on the total costs. Option D is also incorrect because total fixed costs do not change in the short-run.

Changes in the Short-Run Total Costs Result from Changes in Only