firm has fixed costs, then its ________ cost exceeds its ________ cost. a.average total; average variable b.total fixed; total

firm has fixed costs, then its cost exceeds its cost. a.average total; average variable b.total fixed; total

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter7: Production, Costs, And Industry Structure

Section: Chapter Questions

Problem 23RQ: Which costs are measured on per-unit basis: fixed costs, average cost, avenge variable cost,...

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Concept explainers

Short-Run Costs and Long-Run Costs

Cost of short-run and the long-run is an economic term that describes the cost involved in the production of goods in a firm in the short as well as long period.

Question

If a firm has fixed costs, then its ________ cost exceeds its ________ cost.

a.average total; average variable

b.total fixed; total

c.average variable; average total

d.total variable; total

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