Which of the following best describes average variable cost?
a. The change in total cost when one additional unit of output is produced.
b. Total cost divided by the quantity of output produced.
c. Total variable cost divided by the quantity of output produced.
d. Total fixed cost divided by the quantity of output produced.
e. Costs that do not vary as output varies.
c
You might also like to view...
Refer to Figure 2-14. What is the opportunity cost of producing 1 snow cone in Greenland?
A) 2/3 of a popsicle B) 5/6 of a popsicle C) 1 1/5 popsicles D) 200 popsicles
In order to make reliable forecasts with time series data, all of the following conditions are needed with the exception of
A) coefficients having been estimated precisely. B) the regression having high explanatory power. C) the regression being stable. D) the presence of omitted variable bias.
The chain-reaction game
A. was cancelled on network TV. B. counts secondary benefits without counting secondary costs. C. compounds a bad decision by making more bad decisions, causing unwanted projects to get funded. D. is double-counting of benefits.
The real, effective exchange rate is:
a. The same as the nominal, effective exchange rate. b. The value of one currency in terms of another currency. c. The nominal, bilateral exchange rate adjusted for the international price levels of the two countries. d. The weighted-average value of a currency relative to many foreign currencies. e. The nominal, effective exchange rate adjusted for a nation's price level relative to many foreign countries' prices.