The Centroids Represent the Mean Values of the Objects Contained

question 35

True/False

The centroids represent the mean values of the objects contained in the cluster on each of the variables.

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Definitions:

Monopolistically Competitive Firm

A type of firm in a market structure where many companies sell products that are similar but not identical, allowing for significant competition but with some control over price.

ATC

Average Total Cost, which is the total cost of production (fixed plus variable costs) divided by the quantity of output produced.

AVC

Average Variable Cost, which is the variable cost per unit of output, typically considered in the short run.

AFC

Average Fixed Cost, which is the fixed costs of production divided by the quantity of output produced.