Figure 11-5

-Refer to Figure 11-5.The vertical difference between curves F and G measures
A)average fixed costs.
B)marginal costs.
C)fixed costs.
D)sunk costs.

Question

Figure 11-5
 
-Refer to Figure 11-5.The vertical difference between curves F and G measures
A)average fixed costs. 
B)marginal costs. 
C)fixed costs. 
D)sunk costs.

Quizplus · Accepted Answer

The vertical difference between the total cost curve (F) and the total variable cost curve (G) represents average fixed costs, as fixed costs are the difference between total costs and variable costs.

Figure 11-5 -Refer to Figure 11-5.The Vertical Difference Between Curves F and Between