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Classify Each of the Following Costs Associated with Long-Lived Assets

question 211

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Classify each of the following costs associated with long-lived assets as one of the following:
-Fences around land at new business location


Definitions:

Average Total Cost

The total cost of production (fixed plus variable costs) divided by the total amount of output produced, indicating the cost per unit of output.

Marginal Cost

The production cost for one more unit of a product.

Marginal Cost Curve

A graphical representation showing how the cost of producing one additional unit of a good varies.

Average Total Cost

The per unit cost of production, computed by dividing the total cost of production by the total quantity of output.

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