The table given below shows the average total cost of production of a firm at different levels of the output.Table 8.5

-In the long run, the total variable cost of a firm:
A)is equal to its total fixed cost.
B)is equal to its total cost.
C)is equal to its average fixed cost.
D)is more than its total fixed cost.
E)is less than its total cost.

Question

The table given below shows the average total cost of production of a firm at different levels of the output.Table 8.5
 
-In the long run, the total variable cost of a firm:
A)is equal to its total fixed cost. 
B)is equal to its total cost. 
C)is equal to its average fixed cost. 
D)is more than its total fixed cost. 
E)is less than its total cost.

Quizplus · Accepted Answer

In the long run, all costs are variable.

The Table Given Below Shows the Average Total Cost of Production