​If AVC=$15 and AFC=$10,then ATC=

question 57

Multiple Choice

​If AVC=$15 and AFC=$10,then ATC=

• A)​$10
• B)$5
• C)$15
• D)​$25

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Definitions:

Duration

A measure of the sensitivity of the price of a bond or other fixed-income investment to a change in interest rates, often expressed in years.

Price Volatility

The rate at which the price of an asset increases or decreases for a given set of returns, indicative of the risk or stability.

High Coupon

Bonds or debt securities that offer a higher interest rate compared to the market average.

Long Maturity

Long maturity refers to bonds or other fixed-income securities with a longer period until their expiry date, typically associated with greater sensitivity to interest rate changes.