Use the above table and assume a fixed cost of $1000. At an output of 4, ATC is
A. $250.
B. $400.
C. $600.
D. $800.
C. $600.
You might also like to view...
If in the market for apples the supply has decreased, then
A) the supply curve for apples has shifted to the right. B) there has been a movement upwards along the supply curve for apples. C) there has been a movement downwards along the supply curve for apples. D) the supply curve for apples has shifted to the left.
The more price elastic the demand curve, the less quantity demanded will fall when a per-unit tax is imposed
Indicate whether the statement is true or false
A university raises annual tuition by 2 percent. No other events have occurred, and the university's revenues have increased. It must be TRUE that
A) the associated change in quantity demanded was smaller than 2 percent. B) the associated change in quantity demanded was equal to 2 percent. C) the associated change in quantity demanded was greater than 2 percent. D) there was no associated change in quantity demanded.
Which of the following statements regarding a firm's long-run average total cost (LRATC) curve and its short-run average total cost (SRATC) curve is true?
A) The shape of the LRATC is affected by the law of diminishing returns. B) The SRATC, but not the LRATC, can be used by a firm's managers for planning. C) The LRATC shows the lowest cost at which a firm is able to produce a given level of output when no inputs are fixed. D) The contribution of average fixed cost to LRATC is greater than its contribution to SRATC.