The Following Graph Shows Average Fixed Costs, Average Variable Costs

question 97

Multiple Choice

The following graph shows average fixed costs, average variable costs, average total costs, and marginal costs of production. Marginal cost is minimized when output equals:

• A)6 units.
• B)12 units.
• C)21 units.
• D)25 units.

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Definitions:

Densest

Having the highest density; pertaining to material that has the greatest mass per unit volume.

Density

The mass of a substance per unit volume, often used to describe the compactness of materials in physics and earth sciences.

Seismic Waves

Waves of energy that travel through the Earth, often as a result of earthquakes, which can provide information about Earth's internal structure.

Gravity

The force of attraction by which terrestrial bodies tend to fall towards the center of the Earth.