Suppose That a Firm's Total Costs of Production Are 0

question 10

Multiple Choice

Suppose that a firm's total costs of production are 0 at an output of zero, 10 at an output of 1, 20 at an output of 2 units, 30 at an output of three units, 35 at an output of four units and 37 at an output of five units. At which number of units is average cost minimized?

• A)The first unit.
• B)The fifth unit.
• C)The third unit.
• D)At the first, second and third units.

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Definitions:

Proactive Managers

Leaders who anticipate future challenges and opportunities and take early action to address them effectively.

Contingency Plans

Prepared strategies to address unforeseen or unexpected events, ensuring that operations can continue or be quickly restored.

Crisis Management

The process by which an organization deals with major unpredictable events that threaten to harm the organization or its stakeholders.

Crisis Management

The process and strategies used by an organization to deal with sudden and significant negative events that have the potential to harm the organization.