Which of the following formulas is not correct?
A)ATC = AVC + (TFC/Q)
B)TVC = TC/Q
C)TC = TFC + TVC
D)AFC = TFC/Q
E)TVC = AVC × Q

Name: Which of the following formulas is not correct? A)ATC = AVC + (TFC/Q) B)TVC = TC/Q C)TC = TFC + TVC D)AFC = TFC/Q E)TVC = AVC × Q
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The formula TVC = TC/Q is incorrect. TVC (Total Variable Cost) is not calculated by dividing Total Cost (TC) by quantity (Q). Instead, TVC is the total of all variable costs, and TC is the sum of Total Fixed Cost (TFC) and TVC.

Which of the Following Formulas Is Not Correct