Question

19.
Which factors among following we find in short-run production proce
(a) Fixed Factors
(b). Variable Factors
(c) Both (a) and (b)
(d) None of these​

Answer 1

Answer:

the answer is fixed factors.

Answer 2

The correct answer is option (c) Both (a) and (b).

Explanation:

• We will find both the Fixed and Variable factors in short-run production process.
• The short-run production function defines the relationship between one variable factor (keeping all other factors fixed) and the output.
• The term “short-run production” refers to a production cycle in which at least one factor is fixed.
• Most companies have multiple factors that they use to produce goods or services.
• Also known as input factors, they can consist of labor, materials, equipment, capital and real property.
• For example, a restaurant may regard its building as a fixed factor over a period of at least the next year.