The vertical distance between the total cost curve and the total variable cost curve is
A) average total cost.
B) total fixed cost.
C) average fixed cost.
D) marginal cost.
E) average variable cost.

Question

Quizplus · Accepted Answer

The vertical distance between the total cost curve and the total variable cost curve represents total fixed cost (TFC). This is because total cost is composed of fixed cost and variable cost, and the difference between total cost and variable cost is therefore fixed cost.

The Vertical Distance Between the Total Cost Curve and the Total