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While deriving the formulae for the length of valley curve, it is assumed that the head light is
Average Fixed Cost
The fixed costs of production (those that do not change with the level of output) divided by the quantity of output produced.
Average Total Cost
The cost of producing one unit, calculated by dividing the entire production cost by the quantity of units made.
Average Variable Cost
The variable cost of production (costs that change with the level of output) divided by the number of units produced, showing the variable cost per unit.
Marginal Cost
The extra expense associated with manufacturing an additional unit of a product or service.
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