The following graph shows the marginal and average product curves for labor,the firm's only variable input.The monthly wage for labor is $2,800.Fixed cost is $160,000. When the firm uses 40 units of labor,what is AVC at this level of output?
A)$120
B)$400
C)$40
D)$70
E)$86

Question

The following graph shows the marginal and average product curves for labor,the firm's only variable input.The monthly wage for labor is $2,800.Fixed cost is $160,000.  When the firm uses 40 units of labor,what is AVC at this level of output?
A)$120 
B)$400 
C)$40 
D)$70 
E)$86

Quizplus · Accepted Answer

The Answer of The following graph shows the marginal and average product curves for labor,the firm's only variable input.The monthly wage for labor is $2,800.Fixed cost is $160,000.  When the firm uses 40 units of labor,what is AVC at this level of output?
A)$120 
B)$400 
C)$40 
D)$70 
E)$86

The Following Graph Shows the Marginal and Average Product Curves