A Firm's Average Total Cost Is $60, Its Average Variable

question 248

Multiple Choice

A firm's average total cost is $60, its average variable cost is $30, and its total fixed cost is $600. Its output is

• A) 20 units.
• B) 30 units.
• C) 40 units.
• D) 50 units.

---

Definitions:

Proceeds

The total amount of money received from a transaction, often used in the context of the sale of assets.

Noncash Investing

Investment activities that do not involve cash transactions, often including exchanges of assets or stock for other assets or stock.

Equity Stock

Shares of ownership in a corporation, giving shareholders a stake in the company's assets and profits.

Debt Retirement

The process of paying off an outstanding debt over a period, typically through a series of regular payments.