QUESTION 37In Figure 7-3, curve II is the a.total-fixed-cost curve. b.average-variable-cost curve. c.total-cost curve. d.total-variable-cost curve. e.average-total-cost curve. Figure 7-3160120||8040II123456QuantityPrice (dollars)

In this figure there are three curves they are Total cost, Total fixed cost and Total variable cost.

Answered: curve II is the

Business

Economics

curve II is the

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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QUESTION 37

In Figure 7-3, curve II is the

a.

total-fixed-cost curve.

b.

average-variable-cost curve.

c.

total-cost curve.

d.

total-variable-cost curve.

e.

average-total-cost curve.

Figure 7-3
160
120
||
80
40
II
1
2
3
4
5
6
Quantity
Price (dollars)

Defintion Defintion Curve that represents the graphical relationship between the total supply of goods and services and the price level in the economy. When the price level increases, producers tend to supply more of a product in the market to earn a higher revenue or vice versa.

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