Examlex
A Treasury bond due in one year has a yield of 6.2%;a Treasury bond due in 5 years has a yield of 6.7%.A bond issued by General Motors due in 5 years has a yield of 7.9%;a bond issued by Exxon due in one year has a yield of 7.2%.The default risk premiums on the bonds issued by Exxon and General Motors,respectively,are
Average Cost
The total cost divided by the number of goods produced, also known as cost per unit.
Total-Cost Curve
A graph that shows the relationship between the total cost incurred by a firm and the level of output produced.
Production Function
An equation or graph showing the maximum output that can be produced with a given set of inputs, such as labor and capital, under existing technology.
Marginal Product
Enhanced output originating from the inclusion of an additional input unit.
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