Exhibit 7.3

-Refer to Exhibit 7.3,which shows the U-shaped cost curves for a producer.Curve C represents _____
A)marginal cost.
B)average total cost.
C)average variable cost.
D)average fixed cost.
E)total fixed cost.

Question

Exhibit 7.3
 
-Refer to Exhibit 7.3,which shows the U-shaped cost curves for a producer.Curve C represents _____
A)marginal cost. 
B)average total cost. 
C)average variable cost. 
D)average fixed cost. 
E)total fixed cost.

Quizplus · Accepted Answer

Curve C represents the average total cost, which is the total cost per unit of output.

Exhibit 7.3 -Refer to Exhibit 7.3,which Shows the U-Shaped Cost Curves for U-Shaped