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Author Question: Amy spends $6,000 on remodeling a storefront that she then opens as a take-out deli. After opening ... (Read 163 times)

fnuegbu

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Amy spends $6,000 on remodeling a storefront that she then opens as a take-out deli. After opening her deli her business is terrible and she needs an additional $2,000 to keep the deli open. Which of the following is 
true?


◦ The $6,000 Amy spent on remodeling represents a part of the total variable cost of her business.
◦ The $6,000 Amy spent on remodeling represents a sunk cost of her business.
◦ The $2,000 Amy needs to keep the deli open represents her marginal costs of production.
◦ The $2,000 Amy needs to keep the deli open represents her total fixed costs.


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Marked as best answer by fnuegbu on Apr 19, 2019

snackralk

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