Adam operates a factory that produces beach towels. His current level of output equals 1000 towels per week. His weekly variable cost equals $4000. If the total cost each week equals $4500, what is the average total cost of production per towel? $2 $4 $4.50 $8
Adam operates a factory that produces beach towels. His current level of output equals 1000 towels per week. His weekly variable cost equals $4000. If the total cost each week equals $4500, what is the average total cost of production per towel? $2 $4 $4.50 $8
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Transcribed Image Text:Adam operates a factory that produces beach towels. His current level of output equals 1000 towels per week. His
weekly variable cost equals $4000. If the total cost each week equals $4500, what is the average total cost of
production per towel?
$2
$4
$4.50
$8
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