Refer to the following:

$\begin{array}{ccccccccc}
& & \text { Total } & \text { Total } & \text { Average } & \text { Average } & \text { Average } & \
& \text { Total } & \text { Fixed } & \text { Variable } & \text { Fixed } & \text { Variable } & \text { Total } & \text { Marginal } \
\text { Output } & \text { Cost } & \text { Cost } & \text { Cost } & \text { Cost } & \text { Cost } & \text { Cost } & \text { Cost }\
\hline 100&560&-&60&-&-&-&-\200&-&-&-&-&-&-&4.00\300&-&-&-&-&4.00-&-&-\400&-&-&-&-&-&7.00&-\
\end{array}$
-What is the total fixed cost when 400 units of output are produced?
A) $500
B) $2000
C) $3500
D) $5000
E) none of the above

Question

Refer to the following:

$\begin{array}{ccccccccc} 
& & \text { Total } & \text { Total } & \text { Average } & \text { Average } & \text { Average } & \
& \text { Total } & \text { Fixed } & \text { Variable } & \text { Fixed } & \text { Variable } & \text { Total } & \text { Marginal } \
\text { Output } & \text { Cost } & \text { Cost } & \text { Cost } & \text { Cost } & \text { Cost } & \text { Cost } & \text { Cost }\
\hline 100&560&-&60&-&-&-&-\200&-&-&-&-&-&-&4.00\300&-&-&-&-&4.00-&-&-\400&-&-&-&-&-&7.00&-\
\end{array}$
-What is the total fixed cost when 400 units of output are produced?
A) $500
B) $2000
C) $3500
D) $5000
E) none of the above

Quizplus · Accepted Answer

The total fixed cost remains constant regardless of the output level. From the table, when 100 units are produced, the total cost is $560, and the variable cost is $60, so the fixed cost is $560 - $60 = $500.

Refer to the Following -What Is the Total Fixed Cost When 400 Units of }