If average total cost is $50 and average fixed cost is $15 when output is 20 units, then the firm's total variable cost at that level of output is
A) $1,000.
B) $700.
C) $300.
D) impossible to determine without additional information.
B
You might also like to view...
The narrowly-defined money supply in the U.S., called M1, does not include which of the following?
A) Coins in circulation B) Currency in circulation C) Currency in the vaults of commercial banks D) Demand deposit liabilities of commercial banks
The demand for LED TVs increases. As a result
A) the wage rate in the LED TV industry increases and the quantity demanded of workers increases. B) the wage rate in the LED TV industry increases and the quantity supplied of workers increases. C) the demand for labor increases and the supply of labor also increases, leaving wages unchanged. D) the demand for labor increases, but since the supply curve of labor is perfectly elastic, the wage rate does not change.