Answer:
Total variable costs =$930
Explanation:
Total cost is the sum of total fixed cost and total variable cost. Hence given the average fixed cost , we can work-out the total variable cost.
This is done as follows:
Total fixed costs = average fixed costs × number of units
= $10 × 10= $100.
Total variable costs = Total cost - total fixed cost
= $1,030 - $100
=$930
Total variable costs =$930
Answer:
The answer is: Josh's utility maximizing point is when he buys 2 pizzas and 4 burgers.
Explanation:
If Josh gets equal marginal utility per dollar spent when buying one pizza and 2 burgers, that means that every pizza and every burger give Josh 10.67 utility unit per dollar spent. So Josh can obtain maximum 16 units of utility with his budget and his purchasing options (= $24 x 0.67 units of utility per dollar). The way he can maximize his utility is by buying two packs of one pizza and two burgers per pack, since every pack will give him 8 units of utility.
I would say C. Hope this helps!
