The accompanying table shows a pizzeria's fixed cost and variable cost at different levels of output. Pizzas sell for $20 each.
When the pizzeria makes 50 pizzas a day, its average total cost is ________.
A)$5
B)$10
C)$15
D)$20

Question

The accompanying table shows a pizzeria's fixed cost and variable cost at different levels of output. Pizzas sell for $20 each.   
When the pizzeria makes 50 pizzas a day, its average total cost is ________.
A)$5 
B)$10 
C)$15 
D)$20

Quizplus · Accepted Answer

At 50 pizzas a day, total cost is $750 (= $500 + $250), so average total cost is $15 (= $750/50).

The Accompanying Table Shows a Pizzeria's Fixed Cost and Variable