Post Utme Skyline University 2021 Commerce Question 31

Practice objective / multiple choice question 31 from the 2021 Post Utme Skyline University Commerce examination.

Post Utme Skyline University 2021 Commerce Objective / Multiple Choice
Question 31 POST_UTME_SKYLINE_UNIVERSITY • 2021 • COMMERCE • objective

In a perfectly competitive market, the supply curve is upward-sloping because of the law of increasing marginal opportunity cost. What is the primary reason for this upward-sloping supply curve?

Answer Options

Correct Answer A. Increasing marginal opportunity cost due to diminishing marginal returns
B. Increasing marginal opportunity cost due to increasing marginal costs
C. Decreasing marginal opportunity cost due to increasing marginal revenue
D. Decreasing marginal opportunity cost due to decreasing marginal costs
Correct Answer
A
Correct Option:
Increasing marginal opportunity cost due to diminishing marginal returns

About This Question

This is Post Utme Skyline University 2021 Commerce Question 31. It is one of the objective questions from the 2021 Post Utme Skyline University Commerce examination.

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