Post Utme Veritas University 2018 Commerce Question 31

Practice objective / multiple choice question 31 from the 2018 Post Utme Veritas University Commerce examination.

Post Utme Veritas University 2018 Commerce Objective / Multiple Choice
Question 31 POST_UTME_VERITAS_UNIVERSITY • 2018 • COMMERCE • objective

In a perfectly competitive market, the supply curve is upward-sloping because of the law of increasing costs. Which of the following best describes the law of increasing costs?

Answer Options

A. As the quantity supplied increases, the average cost of production decreases.
Correct Answer B. As the quantity supplied increases, the average cost of production increases.
C. As the quantity supplied increases, the marginal cost of production decreases.
D. As the quantity supplied increases, the marginal cost of production increases.
Correct Answer
B
Correct Option:
As the quantity supplied increases, the average cost of production increases.

About This Question

This is Post Utme Veritas University 2018 Commerce Question 31. It is one of the objective questions from the 2018 Post Utme Veritas University Commerce examination.

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