Total fixed costs of production in the short run
A)cannot be reduced by producing less output.
B)can be reduced by producing more output.
C)are small in comparison to variable costs.
D)increase as the firm produces more output.

Question

Quizplus · Accepted Answer

Total fixed costs of production in the short run cannot be reduced by producing less output because they are incurred regardless of the level of output produced.

Total Fixed Costs of Production in the Short Run