Which of the following statements is (are) correct?(x) In the short run, if a firm produces nothing, then, by definition, fixed costs will equal zero.(y) Fixed costs can be defined as costs that are incurred even if nothing is produced.(z) Although fixed costs do not vary as a firm varies the output amount that it produces, average fixed costsfor the firm do vary as the amount of output varies.(x), (y) and (z)(x) and (y) only(x) and (z) only(y) and (z) only(z) only

Fixed cost is the cost incurred by the producer for the purchase of fixed inputs. These costs do not…

Answered: Which of the following statements is…

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 3CQQ

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Which of the following statements is (are) correct?
1. (x) In the short run, if a firm produces nothing, then, by definition, fixed costs will equal zero.
2. (y) Fixed costs can be defined as costs that are incurred even if nothing is produced.
3. (z) Although fixed costs do not vary as a firm varies the output amount that it produces, average fixed costs
  
  for the firm do vary as the amount of output varies.
1. (x), (y) and (z)
2. (x) and (y) only
3. (x) and (z) only
4. (y) and (z) only
5. (z) only

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