A Firm Produces 400 Units of Output at a Total

question 248

Multiple Choice

A firm produces 400 units of output at a total cost of $1,200. If total variable costs are $1,000,

• A)average fixed cost is 50 cents.
• B)average variable cost is $2.
• C)average total cost is $2.50.
• D)average total cost is 50 cents.

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Definitions:

Axle Shaft

A key component of a vehicle's drive system, transmitting torque from the differential to the wheels, allowing them to rotate and propel the vehicle forward.

Hypoid Gearsets

A type of gear configuration where the gear axes are not parallel or intersecting, commonly used in the differentials of vehicles for efficient power transfer.

Forward Differential Carrier

A component of a vehicle's differential system that holds the gears and allows for the distribution of power from the engine to the wheels, enabling them to rotate at different speeds.

Amboid Gearing

A type of gear configuration that allows for the conduction of power through non-parallel and non-intersecting shafts, typically found in certain differential designs.