As output rises, the difference between total cost and total variable cost tends to fall.

True

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False

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Solution

The correct option is B False
The difference between total cost and total variable cost is equal to total fixed cost which remains constant at all levels of output.

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Similar questions

What happens to the difference between total cost and total variable cost as output is increased?

Q. Average variable cost tends to fall, stabilize and rise as output increases.

Define variable costs. Explain the behaviour of total variable cost as output increases.

Why does the difference between average total cost and average variable cost decrease as the output is increased? Can these two be equal at any level of output? Explain.

Q. The difference between average total cost and average variable cost _________.

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As output rises, the difference between total cost and total variable cost tends to fall.

The correct option is B FalseThe difference between total cost and total variable cost is equal to total fixed cost which remains constant at all levels of output.

The correct option is B False
The difference between total cost and total variable cost is equal to total fixed cost which remains constant at all levels of output.