Use the following to answer question(s): Short-Run Costs

-(Exhibit: Short-Run Costs) At 6 units of output, average fixed cost is approximately:
A) $50
B) $70
C) $120
D) $150

Question

Use the following to answer question(s): Short-Run Costs
 
-(Exhibit: Short-Run Costs) At 6 units of output, average fixed cost is approximately:
A) $50 
B) $70 
C) $120 
D) $150

Quizplus · Accepted Answer

At 6 units of output, the ATC is approximately $90 and the AVC is approximately $40. Therefore, AFC is equal to ATC - AVC, which is approximately $50.

Use the Following to Answer Question(s): Short-Run Costs