Exhibit 7.2

-Refer to Exhibit 7.2,which shows different cost curves.Which of the curves represents fixed cost?
A)A
B)B
C)C
D)both A and B
E)both A and C

Name: Exhibit 7.2 -Refer to Exhibit 7.2,which shows different cost curves.Which of the curves represents fixed cost? A)A B)B C)C D)both A and B E)both A and C
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Question

Exhibit 7.2
 
-Refer to Exhibit 7.2,which shows different cost curves.Which of the curves represents fixed cost?
A)A 
B)B 
C)C 
D)both A and B 
E)both A and C

Quizplus · Accepted Answer

Fixed cost is represented by a horizontal line on a cost curve graph, as it does not change with the level of output. Curve C is likely the horizontal line, indicating fixed cost.

Exhibit 7.2 -Refer to Exhibit 7.2,which Shows Different Cost Curves.Which of the Cost