Straker Industries Estimated Its Short-Run Costs Using a U-Shaped Average

question 19

Multiple Choice

Straker Industries estimated its short-run costs using a U-shaped average variable cost function of the form and obtained the following results.Total fixed cost TFC) at Straker Industries is $1,000. If Straker Industries produces 12 units of output,what is estimated total variable cost TVC) ?

• A)$171.40
• B)$463.20
• C)$1,348
• D)$2,348

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