A Firm's Total Cost (TC) Equals the Sum of Its

question 25

Multiple Choice

A firm's total cost (TC) equals the sum of its fixed cost plus its

• A) marginal cost.
• B) variable cost.
• C) variable cost plus its marginal cost.
• D) sunk cost plus its variable cost plus its marginal cost.

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Definitions:

Reliability

The likelihood that a system or component will perform its required functions for a specified period under stated conditions.

Components

Individual parts or elements that combine or work together within a larger product, system, or mechanism.

Series

A sequence of numbers, objects, or events arranged in a specific order and often following a specific rule.

Parallel

Concurrent or simultaneous; in computing, refers to processes that are executed at the same time.