(Table: Workers and Output) After graduation you achieve your dream of opening your own art shop that specializes in selling mud statues.You pay $10 per day on a loan from your uncle, and you pay $10 per day to each of your workers (who make the mud statues).After careful study, you determine the production information in the table.The variable cost of producing 48 statues is
A)$50
B)$48
C)$20
D)$10

Question

Quizplus · Accepted Answer

The variable cost of producing 48 statues is the cost of the workers. Since each worker is paid $10 per day, and assuming the number of workers needed to produce 48 statues is 5, the variable cost is 5 workers x $10 = $50.

(Table: Workers and Output) After Graduation You Achieve Your Dream