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When a Business Expands Production and Increases Sales,what Generally Happens

Question 53

Multiple Choice

When a business expands production and increases sales,what generally happens to revenue?


A) Revenue falls because costs also rise.
B) Revenue rises because the business is selling more output.
C) Revenue is unaffected by the level of production or the number of sales.
D) It depends on whether the firm has increasing or diminishing marginal revenue.

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