Use the following figure to answer the question : figure 8-1: shows the curves F,C,and G denote the total cost,the total variable cost,and the total fixed cost of a firm.

-Refer to Figure 8-1.The total fixed costs of the firm are identified by the distance:
A)RS.
B)ST.
C)BR.
D)BT.

Question

Use the following figure to answer the question : figure 8-1: shows the curves F,C,and G denote the total cost,the total variable cost,and the total fixed cost of a firm.

-Refer to Figure 8-1.The total fixed costs of the firm are identified by the distance:
A)RS. 
B)ST. 
C)BR. 
D)BT.

Quizplus · Accepted Answer

Total fixed costs are represented by the vertical distance between the total cost curve and the variable cost curve at any given output level. In Figure 8-1, this distance is represented by RS.

Use the Following Figure to Answer the Question : Figure