Difference between revisions of "Average total cost"
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(New page: Average total cost (ATC) for a firm or business is its total cost divided by the quantity of its output: :ATC = (total cost) / (quantity of output) ATC is also the sum of the [[average f...) |
m (Average Total Cost moved to Average total cost: Conform to revised MoS) |
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| − | Average total cost (ATC) for a firm or business is its total cost divided by the quantity of its output: | + | '''Average total cost''' ('''ATC''') for a firm or business is its total cost divided by the quantity of its output: |
:ATC = (total cost) / (quantity of output) | :ATC = (total cost) / (quantity of output) | ||
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:ATC = AFC + AVC | :ATC = AFC + AVC | ||
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| + | [[Category:Economics]] | ||
Latest revision as of 12:13, January 26, 2008
Average total cost (ATC) for a firm or business is its total cost divided by the quantity of its output:
- ATC = (total cost) / (quantity of output)
ATC is also the sum of the average fixed cost plus the average variable cost:
- ATC = AFC + AVC