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A company that manufactures computers has a monthly fixed costof $1,000. If it sells 400 computers each month, what is itsaverage fixed cost?from Norton Inquizitive Microeconomics

User Jvans
by
7.8k points

1 Answer

4 votes

Answer:

$ 2.5

Step-by-step explanation:

fixed cost in a month= Total fixed cost

which is given as $1000

output=400

Average fixed cost(AFC)= Total fixed cost(TFC)/output

AFC=$1000/400

AFC= $2.5

User Brett Elliot
by
8.8k points
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