Which component measures the reduction in costs attributable to a reduction in the quantity of inputs used in Year 2 relative to the quantity of input

ACCOUNTING

Multiple Choice

Which component measures the reduction in costs attributable to a reduction in the quantity of inputs used in Year 2 relative to the quantity of inputs that would have been used in Year 1 to produce the Year 2 output?

a. The growth component

b. The price-recovery component

c. The productivity component

d. The cost leadership component

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