Total variable cost

Question

Total variable cost

Quizplus · Accepted Answer

Total variable cost includes costs such as materials, labor, and utilities that increase as output increases. This is because more production requires more resources and inputs, leading to higher variable costs. As a result, choice A is the correct answer. Option B is incorrect because variable costs do not remain constant as output increases, and choice C is also incorrect because variable costs do not decrease as output increases. Choice D is not relevant to the concept of total variable cost.

Total Variable Cost