Question: When process conformance quality is improved: Variable cost per good unit and number of good units produced for a given amount of inputs both increase

When process conformance quality is improved:

  1. Variable cost per good unit and number of good units produced for a given amount of inputs both increase
  2. Variable cost per good unit increases and number of good units produced for a given amount of inputs decreases.
  3. Variable cost per good unit decreases and number of good units produced for a given amount of inputs increases.
  4. Variable cost per good unit and number of good units produced for a given amount of inputs both decrease.

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