Table 14-17
The table below shows the price and cost information for a firm that operates in a perfectly competitive market.
-Refer to Table 14-17. Using this information, determine the average variable cost (AVC) when Q = 5.
A)$36.
B)$30.
C)$5.
D)$6.

Question

​Table 14-17
The table below shows the price and cost information for a firm that operates in a perfectly competitive market. 
-​Refer to Table 14-17. Using this information, determine the average variable cost (AVC) when Q = 5.
A)​$36. 
B)​$30. 
C)​$5. 
D)​$6.

Quizplus · Accepted Answer

The average variable cost (AVC) can be found by dividing total variable cost (TVC) by quantity (Q). 
When Q = 5: 
TVC = $30 + $20 + $15 = $65 
AVC = $65/5 = $13 
Therefore, the correct answer is D, $6.

​Table 14-17 the Table Below Shows the Price and Cost Information for Information

Table 14-17 the Table Below Shows the Price and Cost Information for Information