Average Variable Cost is

Q: Marginal cost is the slope of both the average variable cost and the variable cost functions. Select…

A: Marginal cost is the change in total cost or total variable cost per unit change in output.

Q: Why is the Average Total Cost curve U-shaped?

A: The average cost (AC) or average total cost (ATC) is the cost per unit of production. The average…

Q: How is the difference between average total cost and average variable cost impacted by an increase…

A: Average total cost is the total cost per unit whereas average variable cost is the total variable…

Q: How does fixed cost affect marginal cost? Why is this relationship important?

A: Fixed cost is the cost which does not change with the change in the output.Marginal cost is the…

Q: If the marginal cost MC = 5+4Q , and the fixed cost is 4, what is the total cost function?

A: As per question, marginal cost MC= 5+4Q and fixed cost is 4. Taking integral (with respect to Q) of…

Q: mathematically, marginal cost is expressed as

A: Cost of production refers to the cost of inputs involved in the process of production of the good.…

Q: Explain the difference between total cost, average cost, and marginal cost.

A: Economic cost: The economic cost is different from the accounting cost. Economics cost involves…

Q: alculate average variable cost and marginal cost from the following table. Units of Output Total…

A: Answer in step 2.

Q: The most likely explanation for economies of scale is

A: Economies of scale refer to the cost advantages that a business obtains due to expansion. It's the…

Q: For a short-run cost function which of the following statements is (are) not true?

A: The marginal cost function intersects the average variable cost function where the average variable…

Q: If the marginal cost of production is greater than the average variable cost, what does this tell…

A: Variable costs are the ones which change with the change in the level of output, i.e., it is output…

Q: If the marginal cost is increasing does this tell you whether the average variable cost is…

A: Economic costs involve not just the accounting costs but also the opportunity cost of making one…

Q: What does average fixed cost fall with increase in output?

A: Fixed cost per unit of output is known as average fixed cost. Because the same amount of fixed costs…

Q: Why does the average fixed cost falls with the increase in output?

A: Fixed cost is that cost which doesn't Change in the short run as the production proceeds.  Average…

Q: Show me how to arrive at Average Variable Cost?

A: Total variable cost varies with the level of production.

Q: Average cost decrease indefinitely as output expands.   Is that true?

A: Economies of scale signifies a scenario where a firm reaps the cost benefits while carrying out…

Q: When marginal cost is greater than average total cost, the Select one: average total cost decreases…

A: Marginal cost (MC) refers to the additional cost of production realized with an increase in the…

Q: f the cost of producing 100 pies is $274 the average total cost is?

A: Average total cost refers to total cost per unit of output. It is the sum of average fixed cost and…

Q: What are two examples of variable costs?

A: Variable costs depends on the level of output being produced by the firm.

Q: Ifmarginal cost is below average total cost, average total cost will

A: During the production of the communities the overall cost incurred is referred to be as a total cost…

Q: Find total cost if average cost is $11 and output is $20

A: The data presented in the question above:- Average cost = $11 Output = $20  Total cost is to be…

Q: The government imposes a $1000 per year license fee on all pizza restaurants. As a result, which…

A: The graph showing the function of the total quantity produced is production cost said to be the cost…

Q: Compare and contrast: a) Average fixed cost vs. Total fixed cost b) Total variable cost vs. Average…

A: Differentiate between Average fixed cost and Total fixed cost:- Average fixed cost Total fixed…

Q: Which average cost curves are U-shaped?

A:

Q: is it true that the marginal cost curve intersects the average variable cost curve at the break-even…

A: Marginal cost: It is the cost that is incurred by the firm to produce one extra unit. Average…