Average total cost is calculated by dividing:
A)the change in total cost by the change in the quantity of output.
B)total output by the number of people employed.
C)the change in total output by the change in the number of people employed.
D)total cost by total output.
E)total output by total cost.

Question

Quizplus · Accepted Answer

Average total cost is calculated by dividing the total cost by the total output. This gives an average cost per unit of output.

Average Total Cost Is Calculated by Dividing