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Exhibit 6-11 Short-Run Cost Schedule for Pizzeria's Hourly Production In Exhibit 6-11, the Average Total Cost or Producing 40

Question 64

Multiple Choice

Exhibit 6-11 Short-run cost schedule for pizzeria's hourly production  Total  Product  Total  Cost 0 pizzas $201070201003015040250\begin{array} { | c | r | } \hline \begin{array} { c } \text { Total } \\\text { Product }\end{array} & \begin{array} { r } \text { Total } \\\text { Cost }\end{array} \\\hline 0 \text { pizzas } & \$ 20 \\10 & 70 \\20 & 100 \\30 & 150 \\40 & 250 \\\hline\end{array} In Exhibit 6-11, the average total cost or producing 40 pizzas per hour is equal to:


A) $5 per pizza.
B) $5.75 per pizza.
C) $6.25 per pizza.
D) $10 per pizza.

Correct Answer:

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