-Refer to Table 5

question 50

Multiple Choice

-Refer to Table 5.1. Average total cost (ATC) at 3 units of output is

• A) 3,500.
• B) 1,400.
• C) 1,167.
• D) 700.
• E) 500.

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Definitions:

Adequacy of Consideration

A legal principle assessing whether what is exchanged in a contract (goods, services, or money) is fair and of sufficient value.

Mistake as to Existence

A legal misunderstanding or error regarding the actual existence of a subject matter or condition of a contract.

Fraudulent Misrepresentation

A false statement made knowingly without belief in its truth or recklessly and without concern for its truth, which induces another party to enter into a contract.

Rescission

The act of cancelling a contract and returning all parties involved to their positions prior to the agreement, effectively nullifying the contract's obligations.