Examlex
Which of the following statements is NOT correct?
Marginal Cost
The expense incurred from manufacturing an extra unit of a product or service.
Average Total Cost
A rephrased definition: The per unit production cost calculated by dividing the sum of all production costs by the quantity of output produced.
Variable Cost
Costs that change in proportion to the level of output or activity of a business.
Fixed Costs
Expenses that do not change with the amount of goods or services produced, such as rent or salaries.
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