alleryStart learning →Total cost is made up of which two components?
APrime and conversion cost
BExplicit and sunk cost
CFixed and variable cost
DAverage and marginal cost
Answer & Solution
Correct answer: C. Fixed and variable cost
Adding fixed cost and variable cost gives total cost at any output.
Keep practising Production And Cost
Browse all Production And Cost questions for CA Foundation, or explore more Business Economics topics.
Related questions
The marginal cost curve always passes through the minimum points of which two curves?What is the typical shape of the average variable cost curve?Machines and land bought for a factory are generally classed as which cost in the short ruA mill pays a monthly lease whatever it produces. Over the lease period, this payment is wFixed cost is 500. Producing 5 units costs 700 in total and 6 units costs 760. What is theA firm has TFC of 900 and AVC of 15 at 60 units. What is its total cost?At 40 units, TFC is 1,200 and TVC is 800. What is AC at 40 units?TVC is 600 for 50 units. What is the average variable cost?