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How do software vendors correct flaws in their software after it has been distributed?
Average Fixed Cost
The fixed costs of production divided by the quantity of output produced; these costs decline as production increases.
Marginal Cost
The financial cost of producing an extra unit of a good or service.
Average Total Cost
The total cost of production divided by the quantity of output produced.
Average Variable Cost
Represents the cost that varies with the level of output, calculated by dividing the variable costs by the quantity produced.
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