Some costs do not vary with the quantity of output produced. Those costs are called
A)marginal costs.
B)average costs.
C)fixed costs.
D)explicit costs.

Question

Quizplus · Accepted Answer

Fixed costs do not vary with the quantity of output produced. Marginal costs refer to the additional cost incurred for producing an extra unit of output, while average costs are the total costs divided by the quantity of output produced. Explicit costs refer to the actual expenses incurred by a firm.

Some Costs Do Not Vary with the Quantity of Output