If a Pilot Balloon Rises at a Rate of 100

question 35

Multiple Choice

If a pilot balloon rises at a rate of 100 m per minute,and if it disappears into a deck of stratus clouds 1,500 m (5,000 ft) thick in 5 minutes,what is the ceiling of the cloud layer?

• A) 100 m (300 ft)
• B) 300 m (1,000 ft)
• C) 500 m (1,600 ft)
• D) 1,500 m (5,000 ft)
• E) 2,000 m (6,400 ft)

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Definitions:

AVC (Average Variable Cost)

The total variable cost divided by the quantity of output produced; it varies with production.

MC (Marginal Cost)

Marginal Cost is the change in total cost that arises when the quantity produced is incremented by one unit.

Shutdown Point

The level of operations at which a company or business does not generate enough revenue to cover its variable costs, leading to a temporary or permanent closure.

AVC (Average Variable Cost)

The total variable costs (costs that vary with the level of output) divided by the quantity of output produced, representing the variable cost per unit.