Average cost is:

a. (variable cost) / (quantity).

b. (fixed cost) / (quantity).

c. (total cost) / (change in quantity).

d. (change in total costs) / (change in quantity).

e. (total cost) / (quantity).

f. (change in total costs) / (quantity).

Question

Higgins

Business

29 March, 18:51

Average cost is:

a. (variable cost) / (quantity).

b. (fixed cost) / (quantity).

c. (total cost) / (change in quantity).

d. (change in total costs) / (change in quantity).

e. (total cost) / (quantity).

f. (change in total costs) / (quantity).

+1

Answers (1)

Know the Answer?

Alyssa Owen · Answer 1

e. (total cost) / (quantity).

Explanation:

The average cost is the cost that includes the variable plus fixed cost and the number of units produced which we called as a quantity

In mathematically,

Average cost = Total cost : Quantity

where,

Total cost = Fixed cost + variable cost

It is a sum of fixed cost and the variable cost

Quantity = Number of units produced

Average cost is:a. (variable cost) / (quantity).b. (fixed cost) / (quantity).c. (total cost) / (change in quantity).d. (change in total costs) / (change in quantity).e. (total cost) / (quantity).f. (change in total costs) / (quantity).

Average cost is:

a. (variable cost) / (quantity).

b. (fixed cost) / (quantity).

c. (total cost) / (change in quantity).

d. (change in total costs) / (change in quantity).

e. (total cost) / (quantity).

f. (change in total costs) / (quantity).