Assume the following cost information about Fred's widget ...

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Assume the following cost information about Fred's widget company: Its fixed cost is 27, and its total variable cost is 18 for 1 unit; 33 for 2; 45 for 3; 60 for 4; and 78 for 5 . Given this information:
 a. average fixed cost rises from an output of four to an output of five.
 b. average fixed cost is greater than marginal cost for the second unit produced.
 c. the output level which minimizes average total cost is four units.
 d. average variable cost rises, but average total cost falls, as output increases from four to five.

Question 2

A primary market refers to a market in which outstanding shares are bought and sold.
 a. True
  b. False
  Indicate whether the statement is true or false

[Amiracle]

Answer to Question 1

d

Answer to Question 2

False

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Thank you

[Amiracle]

Happy to help you