Refer to Table 8.1. Assume the wage rate is $10 and the firm has $1,000 in unavoidable fixed cost. What is the average variable cost of producing 22 units of output?
A. $0.91
B. $45.45
C. $0.45
D. $0.83
A. $0.91
You might also like to view...
A disadvantage of the travel cost method is
a. it cannot determine monetary values b. it estimates only user value and not existence value c. it focuses on recreational use making it ineffective for commercial use d. all of the above e. (b) and (c) only
The larger the U.S. imposed per unit import tariff on a good imported and that is also produced in the U.S
A) the smaller the U.S consumer surplus. B) the larger the U.S. producer surplus. C) government revenue may be larger or smaller. D) All of the above.
Suppose that supply increases and demand decreases. What is the most likely effect on price and quantity?
What will be an ideal response?
If average income increases, ceteris paribus, then there will be:
a. A movement along and a shift in the demand curve b. A shift of the demand curve. c. No effect on the demand curve, because income is not a ceteris paribus condition d. A movement along the demand curve