If total fixed cost is equal to 1000 and there are 200 units being produced average fixed cost is equal to
Answered by Expert Tutors
|The average cost is 5|
Average fixed cost is calculated by dividing the total cost by the total number of units produced.
Total cost = 1000
Units produced = 200 units
Average fixed cost = 1000 / 200 = 5
The average fixed cost is equal to 5