The table below shows the amount of output produced and the costs incurred by a firm. Based on the table, the total fixed cost incurred by the firm is _____.Table 6-4

Question

Quizplus · Accepted Answer

Total fixed cost is the same regardless of the level of output. In this case, the fixed cost is the same at $40 for all levels of output as it does not change. This can be seen as none of the columns show any changes in numbers under the "Fixed Cost" category. Therefore, the correct answer is C, $40.

The Table Below Shows the Amount of Output Produced and the Costs