Total cost of production refers to the:
A) sum of variable costs and fixed costs.
B) product of variable costs and fixed costs.
C) difference between variable costs and fixed costs.
D) ratio of variable costs to fixed costs.
Question 2
When economists say that an interest rate is compounding, they imply that:
A) the rate of interest decreases every year.
B) the rate of interest increases every year.
C) interest is being earned on interest.
D) double the interest payment is received every two years.
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