-The average total cost curves for plants A, B, C and D are shown in the above figure. Which plant is BEST to use to produce 80 units per day?
A) Plant A
B) Plant B
C) Plant C
D) Plant D

Question

-The average total cost curves for plants A, B, C and D are shown in the above figure. Which plant is BEST to use to produce 80 units per day?
A) Plant A 
B) Plant B 
C) Plant C 
D) Plant D

Quizplus · Accepted Answer

Plant C is best for producing 80 units per day because its average total cost curve is lowest at the quantity of 80 units, indicating that it has the lowest cost per unit at this production level.

-The Average Total Cost Curves for Plants A, B, C