3.3.2 Costs Flashcards
1
Q
Fixed costs
A
Costs unaffected by output changes
2
Q
Variable Costs
A
Costs linked to output changes
3
Q
Marginal Cost
A
Cost of one additional unit of output
4
Q
Total Cost Formula
A
TFC+TVC
5
Q
Total Variable Formula
A
VC x Q
6
Q
Average Total Cost Formula
A
TC/Q
7
Q
Average Fixed Cost Formula
A
TFC/Q
8
Q
Average Variable Cost Formula
A
TVC/Q
9
Q
Marginal Cost Formula
A
△TC/△Q
