Average Variable Cost Can Be Calculated Using Any of the Formulas

question 85

Multiple Choice

Average variable cost can be calculated using any of the formulas below except

• A)TVC/Q.
• B)(TC - FC)/Q.
• C)Δ(TC - FC)/ΔQ.
• D)(TC/Q)- AFC.

---

Definitions:

Pump Division

A specialized segment within an organization focused on producing and managing pumps.

Customer Service Department

A division within a company that handles inquiries, supports customers with issues, and provides information regarding products or services.

Operating Divisions

Segments within an organization responsible for specific operational activities, contributing to the overall performance of the company.

Fixed Costs

Unchanging expenses related to rent, salaries, and insurance that do not vary with the volume of goods produced or sold.