When a company produces 5,000 units, total costs equal $150,000 and total variable costs equal $75,000. At this level of out

Question

3 years ago

12

put, what is that company average fixed cost?

1 answer:

Marrrta [24] · Answer 1 · 2022-03-30T04:14:23+03:00

7 0

Answer:

$15

Explanation:

Average fixed cost = Total fixed cost / quantity

Total fixed cost = Total cost - Total variable cost

= $150,000 - $75,000 = $75,000

Average fixed cost = $75,000 /5000 = $15

I hope my answer helps you

When a company produces​ 5,000 units, total costs equal​ $150,000 and total variable costs equal​ $75,000. At this level of​ out