Average Fixed Cost Can Be Calculated Using Any of the Formulas

question 245

Multiple Choice

Average fixed cost can be calculated using any of the formulas below except

• A)TFC/Q.
• B)(TC - VC)/Q.
• C)Δ(TC - VC)/ΔQ.
• D)(TC/Q)- AVC.

Learn to perform basic statistical analyses using PHStat, including calculating coefficients of variation.

Understand the relationship between risk and correlation in portfolio management.

Learn to calculate variance of financial instruments.

Identify and understand the criteria for evaluating capital investments.

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Definitions:

Liability Accounts

Accounts that represent amounts owed to creditors or bills that must be paid in the future, contributing to a company’s liabilities on the balance sheet.

Post-closing Trial Balance

A list of all company accounts that remain after adjusting and closing entries are made, used to ensure debits equal credits.

Trial Balance

A summary listing of the titles and balances of accounts in the ledger.

Drawing Account

An account used to record amounts withdrawn by the owner of a business for personal use.