Average total cost
This is an old revision of this page, as edited by HelpJazz (talk | contribs) at 04:46, January 1, 2008. It may differ significantly from current revision.
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