Question 39
HardOriginal questionThe MCs of the first four units are ₹10, ₹8, ₹9 and ₹13. TFC is ₹20. What is the AC of 4 units?
Show the answer and explanation
CorrectNot quiteAnswer C
Correct answer: C
Explanation
TVC = sum of MCs = 10 + 8 + 9 + 13 = ₹40.
TC = 20 + 40 = ₹60; AC = 60 ÷ 4 = ₹15.
Worth noting
₹10 is AVC (40 ÷ 4), leaving out fixed cost.
- Concept
- AC from a list of MCs
- Typical timeTypical
- 100 s
- Your timeYours
- —
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