If Total Fixed Costs Are $1,000,variable Costs Are Constant at $5.00

question 31

Multiple Choice

If total fixed costs are $1,000,variable costs are constant at $5.00 per unit over the relevant range of output and average total cost is $6,what is average fixed cost?

• A)$1
• B)$5
• C)$10
• D)$1,000

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Definitions:

Gasoline And Auto Repairs

Goods and services related to the maintenance and operation of automobiles, representing common examples of household expenditures.

Lobster Boats

Watercraft specifically designed and used for the catching of lobsters as part of commercial or recreational lobster fishing.

Monthly Revenue

The total income generated by a business or individual from sales or services provided within a month.

Lobster Boats

Specialized vessels designed for the purpose of lobster fishing, equipped to handle and store lobsters.