Profit per unit is the difference between

Name: Profit per unit is the difference between
Brand: Quizplus
Rating: 4.9 (55 reviews)

Question

Quizplus · Accepted Answer

Profit per unit is calculated by subtracting the average total cost from the revenue per unit. This is because the average total cost includes both the variable and fixed costs of production, while the revenue per unit only takes into account the price at which the unit is sold. Therefore, subtracting the average total cost from the revenue per unit gives us the amount of profit earned per unit sold.

Profit Per Unit Is the Difference Between