Refer to the Following

question 88

Multiple Choice

Refer to the following:

Suppose a firm is hiring 20 workers at a wage rate of $60. The average product of labor is 30, the last worker added 12 units of output, and total fixed cost is $3,600.

-What is average total cost?

• A) $2
• B) $8
• C) $600
• D) $1800
• E) none of the above

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Definitions:

Average Total Cost

The total cost of production divided by the number of units produced, representing the per unit cost of production.

Economic Usefulness

The degree to which a product or service can satisfy consumers' needs and desires, thus determining its value in the market.

Peyton Manning

A retired American football quarterback who played in the National Football League (NFL), known for his records and time with the Indianapolis Colts and Denver Broncos.

Arthritis Medication

Medicines used to treat inflammation, pain, and stiffness associated with arthritis.