The Feasible Region in the Diagram Below Is Consistent with Which

question 96

Multiple Choice

The feasible region in the diagram below is consistent with which one of the following constraints?

• A)8X1 + 4X2 ≤ 160
• B)8X1 + 4X2 ≥ 160
• C)4X1 + 8X2 ≤ 160
• D)8X1 - 4X2 ≤ 160
• E)4X1 - 8X2 ≤ 160

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Definitions:

AVC

Average Variable Cost, which is the total variable costs divided by the quantity of output produced.

ATC

A restated definition for Average Total Cost; it implies the cost per unit produced when both fixed and variable costs are accounted for across all levels of output.

AFC

Average Fixed Cost, which is the fixed costs of production spread out over the number of units produced, declining as production increases.

Average Total Cost

The total costs of production divided by the total output, giving the cost per unit of output calculated by adding fixed and variable costs and dividing by the number of units produced.