A firm produces 400 units of output at a total cost of $1,200.If fixed costs are $200,

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a. average fixed cost is $2.

b. average variable cost is $2.50.

c. average total cost is $4.

d. average total cost is $5.

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Basic Finance An Introduction to Financial Institutions Investments and Management

ISBN: 978-1111820633

10th edition

Authors: Herbert B. Mayo

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Posted Date: Dec 13, 2022 07:20 AM

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A firm produces 400 units of output at a total cost of $1,200.If fixed costs are $200,

Question:

Expert Answer:

Answer The correct answer is option b Explanation Here it is given that the quantity ... View the full answer

Basic Finance An Introduction to Financial Institutions Investments and Management

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