Jen-Chi's Tea House produces 500 packets of tea per week. Jen-Chi's average variable cost is $14.10 per packet and his fixed cost per week is $1,775. Jen-Chi's total cost per week is

Question

Quizplus · Accepted Answer

The total cost per week is calculated by adding the total variable cost and the fixed cost. The total variable cost is 500 packets * $14.10 = $7,050. Adding the fixed cost of $1,775 gives a total cost of $8,825.

Jen-Chi's Tea House Produces 500 Packets of Tea Per Week