Question

The average total cost of producing electronic calculators in a factory is $20 at the current output level of 100 units per week. If fixed cost is $1,000 per week:_____a. average variable cost is $10. b. variable cost is $2,000. c. total cost is $3,000. d. average fixed cost is $20.

Answer 1

Answer:

C. total cost is $3000

Explanation:

Fixed cost is $1000 no matter what per week.

Your output is 100 units, average cost to produce each is $20.

so 100 * $20 = $2,000

total cost is $3000

hope this helps