Which of the Following Best Describes Average Variable Cost

question 124

Multiple Choice

Which of the following best describes average variable cost?

• A) The change in total cost when one additional unit of output is produced.
• B) Total cost divided by the quantity of output produced.
• C) Total variable cost divided by the quantity of output produced.
• D) Total fixed cost divided by the quantity of output produced.
• E) Costs that do not vary as output varies.
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Definitions:

Negative Reinforcer

A stimulus whose removal or avoidance following a behavior increases the frequency of that behavior in the future.

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A sudden discharge of electricity through a part of the body, causing a sharp and often painful reaction.

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Law Of Effect

A psychological rule that suggests actions leading to rewarding outcomes are more likely to recur, whereas actions that result in negative outcomes are less likely to be repeated.