MENU
What happens to the marginal cost if revenue accelerates slower than variable costs but fixed costs remain the same?
Suggested Answer: D
Get Premium CECP Questions
as Interactive Web-Based Practice Test or PDF
Real Exam Format
Detailed Explanations
Instant Access
Get Your Practice Test
12 comments · newest first
MA
Malcom
2 months ago
A is my pick. Marginal cost stays the same if fixed costs don’t change.
TE
Terrilyn
2 months ago
I lean towards C. If variable costs rise, marginal cost should too.
WA
Wava
3 months ago
I think the answer is D. Higher revenues but rising costs? Not good.
LE
Lenna
3 months ago
I agree, fixed costs don’t change the marginal cost directly.
FL
Floyd
3 months ago
Definitely goes up as revenue lags behind costs.
LA
Laurel
3 months ago
Wait, how can it stay the same if costs are rising?
KR
Kristel
3 months ago
I think it actually increases with variable costs.
MA
Marcelle
3 months ago
Marginal cost stays the same if fixed costs are constant.
ZI
Zita
4 months ago
I feel like I saw something similar where marginal cost increased as variable costs went up, but I can't recall if it was directly related to revenue changes.
BA
Barrett
4 months ago
I’m a bit confused about how fixed costs play into this. Does that mean marginal cost could stay the same if revenue is just lagging behind variable costs?
JU
Justine
4 months ago
I remember a practice question where fixed costs stayed the same, and it seemed like marginal cost would rise if variable costs were outpacing revenue.
RE
Reynalda
4 months ago
I think if revenue is increasing slower than variable costs, the marginal cost might actually increase, but I'm not sure if it’s at the same rate.