The table presents the link between a firm’s total output and total costs when factor prices remain unchanged and factor proportions are fixed: output 100 cost 100; 200->160; 300->180; 400->320; 500->500. This means that, across this output range, the firm is experiencing which returns?
- Adecreasing returns for output between 100 and 300 and increasing returns for output larger than 300.
- Bincreasing returns for output between 100 and 300 and decreasing returns for output larger than 300.
- Cdecreasing returns throughout.
- Dincreasing returns throughout.