The firm must employ more of the variable inputs, in order to increase the production of output. Therefore, as output increases Option 1: Total Variable Cost and Total Cost increase. Option 2: Total Variable Cost and Total Cost decrease. Option 3: Total Variable Cost decrease and Total Cost increase. Option 4: Total Variable Cost increase and Total Cost decrease.

The answer is 'Total Variable Cost and Total Cost increase.'. View full solution:

The firm must employ more of the variab<= inputs, in order to increase the production of output. Therefore, as output increases

Total Variab<= Cost and Total Cost increase.

Total Variab<= Cost and Total Cost decrease.

Total Variab<= Cost decrease and Total Cost increase.

Total Variab<= Cost increase and Total Cost decrease.

CUET Economics 2025 28 May Shift 2

Micro

Easy

Total Variable Cost and Total Cost increase.

Total Variable Cost and Total Cost decrease.

Total Variable Cost decrease and Total Cost increase.

Total Variable Cost increase and Total Cost decrease.

✅ Correct Option: 1