The average total cost of production
A)is the extra cost required to produce one more unit.
B)equals the explicit cost of production.
C)equals total cost of production divided by the level of output.
D)equals total cost of production multiplied by the level of output.

Question

Quizplus · Accepted Answer

The average total cost of production is the total cost of production divided by the level of output. Option A describes marginal cost, option B describes explicit cost, and option D describes total revenue.

The Average Total Cost of Production