The Wacky Widget Company Has Total Fixed Costs of $100,000

question 287

Multiple Choice

The Wacky Widget company has total fixed costs of $100,000 per year. The firm's average variable cost is $10 for 10,000 widgets. At that level of output, the firm's average total costs equal

• A)$10
• B)$15
• C)$20
• D)$25

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Definitions:

Middle Income

A socioeconomic class that typically refers to individuals or households with moderate levels of income, situated between the upper and lower classes.

Negative Symptoms

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Schizophrenia

A serious mental disorder characterized by disturbances in thought, perception, and behavior, leading to a disconnect from reality (psychosis), often including hallucinations and delusions.

Atypical Neuroleptics

A newer class of antipsychotic medications that treat symptoms of psychiatric disorders with fewer side effects than older, typical neuroleptics.