Variable cost increases with __________ in output.

increase

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

decrease

No worries! We‘ve got your back. Try BYJU‘S free classes today!

increase or decrease

No worries! We‘ve got your back. Try BYJU‘S free classes today!

None of these

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is A increase
Variable cost is the cost which is in direct proportion to the number of units produced. As the output increases, variable cost increases. For example raw material cost for one unit is Rs.10. If output is of 100 units, value of variable cost becomes Rs.1000.

Suggest Corrections

Similar questions

Q. Electricity tariff is increased for the commercial use. Would it affect fixed cost or variable cost of the industry? Explain with a reason.

Q. A monomial can be a number or a variable or combination of these and can have a fractional or negative exponent. State true or false.

State the behavior of Total Variable Cost. Draw Total Variable Cost, Total Cost and Total Fixed Cost curves in a single diagram

State the behavior of Total Variable Cost. Prepare a Schedule showing Total Variable Cost and Total Cost.

Assertion

:
When a variable frequency

A C

source is connected to a capacitor, displacement current increases with increases in frequency.

Reason

:
As frequency increases, conduction current also increases.

a) Why is Total Variable Cost curve inverse S- shaped?
b) What is Average Fixed Cost of a firm? Why is an Average Fixed Cost Curve a rectangular Hyperbola? Explain with help of a diagram.

Join BYJU'S Learning Program

Variable cost increases with __________ in output.

The correct option is A increaseVariable cost is the cost which is in direct proportion to the number of units produced. As the output increases, variable cost increases. For example raw material cost for one unit is Rs.10. If output is of 100 units, value of variable cost becomes Rs.1000.

The correct option is A increase
Variable cost is the cost which is in direct proportion to the number of units produced. As the output increases, variable cost increases. For example raw material cost for one unit is Rs.10. If output is of 100 units, value of variable cost becomes Rs.1000.