suppose that a new alloy is invented which uses copper and zinc in fixed proportions where 1 unit of output requires 3 units of copper and 4 units of zinc for each unit of alloy produced.If no other inputs are needed, the price of copper is $2, and the price of zinc is $3, what is the average cost per unit when 3,000 units of the alloy are produced?
A)$18
B)$.67
C)$666.67
D)$9.33
E)$9,333.33

Question

Quizplus · Accepted Answer

The cost of producing one unit of alloy is (3 units of copper * $2) + (4 units of zinc * $3) = $18.

Suppose That a New Alloy Is Invented Which Uses Copper