Figure 7-6
-Refer to Figure 7-6.Suppose the firm produces 4000 units.What does the shaded area labelled B represent?
A) The firm's economic loss
B) Total variable cost
C) Average variable cost
D) Total fixed cost

Question

Figure 7-6 
-Refer to Figure 7-6.Suppose the firm produces 4000 units.What does the shaded area labelled B represent?
A) The firm's economic loss 
B) Total variable cost 
C) Average variable cost 
D) Total fixed cost

Quizplus · Accepted Answer

The shaded area labelled B represents the Total Variable Cost, which is the cost that varies with the level of output produced, in this case, 4000 units.

Figure 7-6 -Refer to Figure 7-6.Suppose the Firm Produces 4000 Units.What Does