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The Average Total Cost of Producing Laptop Computers in a Factory

Question 86

Multiple Choice

The average total cost of producing laptop computers in a factory is $500 at the current output level of 100 units per week.If fixed costs equal $10,000:


A) average fixed cost equals $10,000.
B) total cost equals $60,000 per week.
C) variable cost equals $50,000 per week.
D) average variable cost equals $400.

Correct Answer:

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