0
Total cost divided by the times that cost has been paid for. For example, if the costs were 1, 2, 3 and 4 (of whatever currency), then the average cost would be 1+2+3+4 / 4 (because there were only 4 times when the cost was produced) which woul be equal to 2.5.
Wiki User
∙ 15y ago
Add your answer:
Earn +20 pts
What is the formula to find the average variable cost?
Average Variable Cost = Total Variable Cost/ Quantity Average Cost = Average Fixed Cost + Average Variable Cost Average Cost = Total Cost/Quantity
What is the formula for average unit cost?
(total cost - overhead cost) / number of units Example: If you purchased 100 items at a total cost of $1110, including $110 shipping cost, the average unit cost would be $10. ($1100 - $110)/100 = $10
How do you derive the total cost function from the average cost function?
Average cost = Total cost / number of units of a good produced. So Total cost = Average cost X No. of units of a good produced
Formula for total variable cost?
Total Variable Cost = Number of Units * Variable cost per unit
6 If the average total cost curve is falling what is necessarily true of the marginal cost curve If the average total cost curve is rising what is necessarily true of the marginal cost curve?
When average total cost curve is falling it is necessarily above the marginal cost curve. If the average total cost curve is rising, it is necessarily below the marginal cost curve.
What is the formula to find the average variable cost?
Average Variable Cost = Total Variable Cost/ Quantity Average Cost = Average Fixed Cost + Average Variable Cost Average Cost = Total Cost/Quantity
What is the formula for average unit cost?
(total cost - overhead cost) / number of units Example: If you purchased 100 items at a total cost of $1110, including $110 shipping cost, the average unit cost would be $10. ($1100 - $110)/100 = $10
Is total cost different from overhead cost?
Overhead cost is part of total cost and not different from total cost as formula is as follows: Total cost = material cost + labor cost + overhead cost
How do you derive the total cost function from the average cost function?
Average cost = Total cost / number of units of a good produced. So Total cost = Average cost X No. of units of a good produced
What is cost What is the difference between total cost and average cost?
Average total cost is the average of all your costs. This is your Fixed Costs and your Variable costs. Average Variable Cost is the average of your costs that can fluctuate.
WHAT IS FORMULA OF AVERAGE?
SUM/TOTAL
Formula for total variable cost?
Total Variable Cost = Number of Units * Variable cost per unit
6 If the average total cost curve is falling what is necessarily true of the marginal cost curve If the average total cost curve is rising what is necessarily true of the marginal cost curve?
When average total cost curve is falling it is necessarily above the marginal cost curve. If the average total cost curve is rising, it is necessarily below the marginal cost curve.
If average total cost is greater than marginal cost average total cost must be increasing is the true or false?
true
What is the Average Cost method of inventory valuation?
Average Cost Method: Under this method average cost is calculated by following farmula:Average cost of unit= Total cost of inventory / total number of units
What is the relationship between marginal cost and average cost curves?
Margianal cost curve crosses the average total cost curve at the lowest point on the average total cost curve to be socially and ecomonical efficient.
Average CTR Calculation Formula?
Total-Clicks/Total Impression
