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.