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Saturday, 13 June 2026
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Which cost remains important during shutdown decisions?

Which cost remains important during shutdown decisions?
Take Free Practice Test On 2026 JAMB UTME, Post UTME, WAEC SSCE, GCE, NECO SSCE
  • A Sunk production cost
  • B Historical accounting cost
  • C Average fixed cost
  • D Variable production cost
Correct Answer: Option D
Explanation:
Firms compare revenue with variable costs when deciding whether to continue operating in the short run.

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