Two hundred units of a good were produced at a total cost of $4,000.Given a total fixed cost equal to $1,800,the average total cost per unit will be equal to
A)$29.
B)$11.
C)$20.
D)$9.
E)$36.

Question

Quizplus · Accepted Answer

The average cost per unit is obtained by dividing total cost by total quantity.In this case,the total cost is $4,000.Dividing by the total quantity,$200,results in an average cost per unit of $20.

Two Hundred Units of a Good Were Produced at a Total