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Average Variable Cost
The per unit cost of variable inputs (like labor and raw materials) that change with the level of output.
Marginal Cost
The additional cost incurred by producing one more unit of a product or service, which typically varies with the level of production.
Total Costs
The sum of fixed and variable costs incurred by a business in the production of a good or service.
Average Total Cost
The total cost per unit of output, calculated by dividing total costs by the number of units produced.
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