Consider the following cost data:

$\begin{array} { | l | c | c | c | c | c | c | c | }
\hline \text { Output } & 0 & 1 & 2 & 3 & 4 & 5 & 6 \
\hline \text { Total Cost (\$) } & 24 & 33 & 41 & 48 & 54 & 61 & 69 \
\hline
\end{array}$
-The average cost of producing 3 units of output is:
A)$14
B)$12
C)$13.67
D)$16
E)$48

Question

Consider the following cost data:

$\begin{array} { | l | c | c | c | c | c | c | c | } 
\hline \text { Output } & 0 & 1 & 2 & 3 & 4 & 5 & 6 \
\hline \text { Total Cost (\$) } & 24 & 33 & 41 & 48 & 54 & 61 & 69 \
\hline
\end{array}$
-The average cost of producing 3 units of output is:
A)$14
B)$12
C)$13.67
D)$16
E)$48

Quizplus · Accepted Answer

The average cost is calculated by dividing the total cost by the number of units produced. For 3 units, it's $48/3 = $16.

Consider the Following Cost Data -The Average Cost of Producing 3 Units of Output Is