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kobusy
2 days ago
5

The chart shows the marginal cost of producing apple pies. This chart demonstrates that the marginal cost initially decreases as

production increases. Initially increases as production increases. Eventually decreases as production increases. Eventually increases as production decreases.
Business
2 answers:
harina [3.5K]2 days ago
9 0

Answer: This chart indicates that the marginal cost initially declines as the level of production rises.

Marginal cost is the expense incurred for producing an additional unit of a product. When production levels increase, marginal costs tend to fall at first.

In the short run, inputs like capital remain constant while labor becomes the variable factor changing with the number of units produced. Initially, increasing labor enhances productivity, lowering marginal costs. However, as even more labor is added, its productivity diminishes, triggering the law of diminishing marginal returns, which results in a rising marginal cost curve.


Mariulka [3.4K]2 days ago
7 0

Answer:

the answer is A

Explanation:

I just completed the exam

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