Question

assume that in the short run a firm is producing 800 units of output, has average total costs of $150, and has cost of $100. the firm's total variable costs are?

Answer 1

Answer:

$80,000

Explanation:

Missing word "and has average variable costs of $100"

Note: AVC = Average variable cost, TVC = total variable cost

AVC = TVC / Output

$100 = TVC/800 units

TVC = $100*800 units

TVC = $80,000

So, the firm's total variable costs are $80,000.