Multiple Choice
A firm producing calculators employs 6 workers.Each worker produces 40 calculators per week.Assuming that labour is the only variable input and the weekly wage is $500 per worker,the firm's
A) average variable cost is $12.50.
B) average cost is $12.50.
C) average variable cost is $83.33.
D) average fixed cost is $10.
E) average variable cost is $50.00.
Correct Answer:
Verified
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