Question: Which statement about average cost is FALSE? Answer Average cost includes the cost of making one more unit. Average cost is NOT appropriate for predicting

Which statement about average cost is FALSE?
Answer
Average cost includes the cost of making one more unit.
Average cost is NOT appropriate for predicting total costs at different levels of output.
A manager must understand how costs behave in order to compute average costs.
Average cost is computed by dividing the total cost by the number of units produced at the plant.

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