Total fixed cost divided by the level of output yields
A)average variable cost per unit
B)average fixed costs per unit
C)marginal cost per unit
D)average total cost per unit
E)marginal productivity per unit of fixed resource

Question

Quizplus · Accepted Answer

Total fixed costs are the same regardless of the level of output, so dividing them by the level of output gives the average fixed costs per unit.

Total Fixed Cost Divided by the Level of Output Yields