The Average Total Cost of Producing Electronic Calculators in a Factory

question 133

Multiple Choice

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 fixed cost is $20.
• B) total cost is $3,000.
• C) variable cost is $2,000.
• D) average variable cost is $10.

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Definitions:

Developed Countries

Nations with relatively high levels of economic prosperity and standards of living, often characterized by high Gross Domestic Product (GDP) per capita.

Income Inequality

The unequal distribution of income within a population, often measured by various statistical means, indicating the gap between the rich and the poor.

Developed Countries

Nations with high levels of industrialization, a higher standard of living, advanced technological infrastructure, and more complex economic systems compared to developing countries.

Poverty Line

An absolute level of income set by the federal government for each family size below which a family is deemed to be in poverty.