(Figure: Cost Schedule) In the figure, what is the average total cost to produce 4 units?
$\begin{array}{|c|c|c|c|}
\hline \text { Quantity } & \text { Fixed Cost } & \begin{array}{c}
\text { Variable } \
\text { Cost }
\end{array} & \begin{array}{c}
\text { Marginal } \
\text { Cost }
\end{array} \
\hline 0 & \$ 11 & \$ 0 & - \
\hline 1 & 11 & 3 & \$ 3 \
\hline 2 & 11 & 8 & 5 \
\hline 3 & 11 & 14 & 6 \
\hline 4 & 11 & 23 & 9 \
\hline 5 & 11 & 36 & 13 \
\hline
\end{array}$

Question

(Figure: Cost Schedule) In the figure, what is the average total cost to produce 4 units?
 $\begin{array}{|c|c|c|c|}
\hline \text { Quantity } & \text { Fixed Cost } & \begin{array}{c}
\text { Variable } \
\text { Cost }
\end{array} & \begin{array}{c}
\text { Marginal } \
\text { Cost }
\end{array} \
\hline 0 & \$ 11 & \$ 0 & - \
\hline 1 & 11 & 3 & \$ 3 \
\hline 2 & 11 & 8 & 5 \
\hline 3 & 11 & 14 & 6 \
\hline 4 & 11 & 23 & 9 \
\hline 5 & 11 & 36 & 13 \
\hline
\end{array}$

Quizplus · Accepted Answer

The average total cost (ATC) is calculated by dividing the total cost (fixed cost + variable cost) by the quantity. For 4 units, the total cost is $11 (fixed) + $23 (variable) = $34. The ATC is $34 / 4 = $8.50.

(Figure: Cost Schedule) in the Figure, What Is the Average