Question

Ace Manufacturing produces 1,000 hammers per day.  The total fixed cost for the plant is $5,000 per day, and the total variable cost is $15,000 per day.  Calculate the average fixed cost, average variable cost, and average total cost, and total cost at the current output level.

Expert Answer

Want to see the step-by-step answer?

Check out a sample Q&A here.

Want to see this answer and more?

Experts are waiting 24/7 to provide step-by-step solutions in as fast as 30 minutes!*

*Response times may vary by subject and question complexity. Median response time is 34 minutes for paid subscribers and may be longer for promotional offers.
Tagged in
Business
Economics

Related Economics Q&A

Find answers to questions asked by students like you.

Q: 1. Characteristics of competitive markets The model of competitive markets relies on these three cor...

A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and s...

Q: wues 2

A: In a perfect competitive market, there is a number of buyers and sellers, selling similar products. ...

Q: 1.Explain how the long run differs from the short run in pure competition. 2. Explain how the entry ...

A: Hi there! Thank you for the question. Since we only answer one question, we will answer the first on...

Q: What do you understand by the term "Risk Free Interest Rate"? How do you rationalize this concept wi...

A: The risk free interest rate indicates the level of interest rate on the hypothetical investment with...

Q: Ruritania produces Widgets and Gizmos. If all of its factors of production are committed to making w...

A: The production possibility curve is the graphical illustration of all the locus points of the combin...

Q: How does a monopolist identify its profit-maximizing quantity of output?  Then how does it decide wh...

A: A market is a place where the sellers and the buyers interact with each other and the exchange of go...

Q: Spring is here, and Larry and his uncle would like to go fishing for the weekend in Washington. Larr...

A: Common Resources: The term common resources indicate equal ownership over the resource and every per...

Q: Why should a firm shut down if its average variable cost curve is above the price of their product?

A: If the price of the product is below the average variable cost (AVC), then the firm will shutdown. H...

Q: How is the quality of health care in Spain?

A: Spain speaks of one of the leading healthcare mechansims in the globe. In 2009, Spain ranked as the ...