Which of the following equations is correct?
A) AVC - ATC = AFC
B) AVC + ATC = AFC
C) AFC + AVC = ATC
D) ATC + AVC = AFC
Answer: C
You might also like to view...
What are the major problems that will tend to arise if there are legal limits on the movement of prices?
A. Favoritism and corruption of officials and market participants B. Unenforceability of laws and higher costs of transactions C. Increasing restrictions to enforce the laws D. Misallocation of resources as prices no longer correspond to costs E. All of these responses are correct.
When the slope of the total product curve is steep, the marginal product is
A) zero. B) negative. C) high. D) low. E) not defined.
If the secular trend of labor productivity is 3 percent per year, the number of years that it will take for the standard of living to double will be about:
A. 23 years. B. 20 years. C. 15 years. D. 17 years.
A patent
A. is often necessary to motivate inventions. B. makes a good that has recently been invented more expensive than it could be. C. is better for a writer of books than it is for an inventor of medicines. D. is often necessary to motivate inventions and makes a good that has recently been invented more expensive than it could be.