Which of the following statements is true of facilities-sustaining costs? facilities-sustaining costs vary with the output volume and include only indirect costs. facilities-sustaining costs vary with the number of groups or batches that are run. facilities-sustaining costs do not vary with any factors such as units or batches but are necessary in operating the plant. facilities-sustaining costs do not vary with the output volume and include direct and indirect costs.

Suppose life expectancy in years (l) is a function of two inputs, health expenditures (h) and nutrition expenditures (n) in hundreds of dollars per year. the production function is upper l equals ch superscript 0.40 baseline upper n superscript 0.60l=ch0.40n0.60. beginning with c = 1, a health input of $400400 per year (hequals=44) and a nutrition input of $400400 per year (nequals=44), show that the marginal product of health expenditures and the marginal product of nutrition expenditures are both decreasing. the marginal product of health expenditures when h goes from 44 to 55 is nothing, and the marginal product of health when h goes from 66 to 77 is nothing. (round your answers to three decimal places.)