Asked by João Victor on Jul 27, 2024
Verified
Tankao makes Bluetooth headphones for mobile devices.When 50 Bluetooth headphones are produced in the short run,the average variable cost is $30.Fixed costs are greater than zero.Therefore,Tankao's average _____ cost is _____.
A) total;$30.
B) total;greater than $30.
C) total;less than $30.
D) fixed;$30.
Average Variable Cost
The total variable cost divided by the quantity of output produced, representing the variable cost of producing each unit of output.
Fixed Costs
Fixed costs are business expenses that remain constant regardless of the level of production or sales, such as rent, salaries, or insurance premiums.
Total Cost
The total expense of producing goods, encompassing both constant and fluctuating expenses.
- Identify the conditions under which average variable and total costs increase or decrease.
Verified Answer
Learning Objectives
- Identify the conditions under which average variable and total costs increase or decrease.
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