please Answer Review QuestionsQUESTION 27The average total cost to produce 100 cookies is $0.25 per cookie. The marginal cost is constant at $0.10 for all cookiesproduced, what is the total cost to produce 100 cookies?A. S100 O B. S0.25 O C. SO.10 O D. $25 Review QuestionsQUESTION 28The vertical distance between a firm's total cost (TC) and variable cost (VC) curvesO A. Decreases as outputO B. Is equal to the average variablecost (AVC).O C. Is equal to the fixedcost (FC).O D. Is equal to the marginalcost (MC).decreases.

In economics, cost is the monetary value that has been spent on production of goods and services.…

Review Questions QUESTION 27 The average total cost to produce 100 cookies is $0.25 per cookie. The marginal cost is constant at $0.10 for all cookies produced, what is the total cost to produce 100 cookies? A. $100 O B. S0.25 O C. SO.10 O D. $25

Review Questions QUESTION 27 The average total cost to produce 100 cookies is $0.25 per cookie. The marginal cost is constant at $0.10 for all cookies produced, what is the total cost to produce 100 cookies? A. $100 O B. S0.25 O C. SO.10 O D. $25

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter12: The Cost Of Production

Section: Chapter Questions

Problem 4CQQ

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Concept explainers

Inflation and Purchasing Power Theory

In economic terms, Inflation refers to the increase in the costs of various commodities which are used in daily lifestyle like food, clothes, transport, etc. over a specific time. It may lead to a fall in the purchasing power of the people and also affects the exchange rate of the currency because of the price increase. As the purchasing power falls the unit of the currency in the economy falls. When the prices of the commodities are decreased, then the purchasing power of the consumers will rise, then it will lead to deflation and changes the currency of the base economy to that of the foreign economy which will lead to change in exchange rates.

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Review Questions
QUESTION 28
The vertical distance between a firm's total cost (TC) and variable cost (VC) curves
O A. Decreases as output
O B. Is equal to the average variable
cost (AVC).
O C. Is equal to the fixed
cost (FC).
O D. Is equal to the marginal
cost (MC).
decreases.

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