1.- If the producer increases total cost:

a.- shifts parallel inward from the original isocost line.

b.- shifts parallel outward from the original isocost line.

c.- rotates outward on the capital axis.

d.- rotates inward on the labor axis.

2.-If the producer increases total cost:

a.-nothing happens with th slope.

b.- the slope of the isocost increases.

c.- the slope of the isocost decreases.

d.- the slope of the isoquant increases.

3.-If the price per unit of capital increase, then:

a.- Isocost line rotates in the labor axis, decreasing in the capital axis and the slope.

b.- Isoquant curve rotates in the labor axis, increasing in the capital axis, and the slope decreases.

c.- soquant curve rotates in the capital axis, decreasing in the labor axis and the slope.

d.- Isocost line rotates in the capital axis, increasing capital axis and the slope.

4.- The least costly way to produce any given level of output is indicated by the

a.- point of intersection between the isoquant corresponding to that level of output and the Xaxis.

b.- point of intersection between the isoquant corresponding to that level of output and the Yaxis

c.- point of tangency between an isocost line and the isoquant corresponding to that level of output.

d.- isocost line corresponding to that level of output.