For a hotdog vendor, the hotdog buns represents his
A) fixed input.
B) variable input.
C) sunk cost.
D) none of the above.

Question

Quizplus · Accepted Answer

Hotdog buns are considered a variable input because the quantity used by the vendor can vary depending on the amount of hotdogs sold. The vendor can adjust the amount of buns used based on demand, making it a variable cost rather than a fixed cost. Sunk costs are costs that have already been incurred and cannot be recovered, while the hotdog buns can still be used or sold if there is excess inventory.

For a Hotdog Vendor, the Hotdog Buns Represents His