Average fixed cost (AFC)
A) is the fixed cost divided by the average sales price of the final good.
B) is the fixed cost divided by the quantity of output produced.
C) is $0 when no output is produced.
D) is always less than average variable cost (AVC).
B
You might also like to view...
The opportunity cost of something is
A) what you sacrifice to get the good. B) the price you pay for the good. C) what you are willing to pay for the good. D) a measure of the scarcity of the good.
The sum of the current account plus the capital and financial account plus the official settlements account equals
A) 100 percent. B) U.S. official reserves. C) U.S. exports. D) zero. E) government expenditures.
Specialization and trade make a country better off because with trade, the country can consume at a point
A) on its production possibilities frontier. B) on its trading partner's production possibilities frontier. C) inside its trading partner's production possibilities frontier. D) outside its production possibilities frontier. E) inside its production possibilities frontier.
When aggregate output falls, money demand and the interest rate fall
a. true b. false