If you know that when a firm produces 8 units of output, average fixed cost is $12.50 and average variable cost is $81.25, then the average total cost associated with this output level is
A. $880.00.
B. $97.78.
C. $750.00.
D. $93.75.
Answer: C
You might also like to view...
Which of the following statements is TRUE about a non-cooperative game?
A) When two players each have a dominant strategy, joint profits may not be maximized. B) When two players each have a dominant strategy, joint profits are maximized. C) When players use their best responses, joint profits are maximized. D) None of the above.
Direct controls have a clear advantage when a total ban is necessary
a. True b. False Indicate whether the statement is true or false
The QuickBooks Setup window allows you to enter __________ information.
a. Vendor b. Customer c. Banking d. All of these
Collusive control over price may permit oligopolists to:
A. use new technology, achieve economies of scale, and get government subsidies. B. achieve economies of scale, reduce costs, and prevent price cheating. C. reduce uncertainty, increase profits, and possibly limit entry of new firms. D. increase product demand, increase product supply, and lower cost.