The average total cost of production is measured by
A) average variable cost + average fixed cost
B) fixed cost + variable cost
C) average variable cost - average fixed cost
D) marginal cost + variable cost
E) fixed cost + marginal cost

Question

Quizplus · Accepted Answer

The average total cost of production is calculated by adding the average variable cost and the average fixed cost together. This gives the cost per unit of production when both variable and fixed costs are considered.

The Average Total Cost of Production Is Measured by