Business Costs and Revenue Quizizz

What is a fixed cost?

• A cost that changes with the number of units produced

• A cost that is the same no matter how many units are produced

• The sum of fixed costs and variable costs

• The cost of producing an additional unit of a good

What is a variable cost?

• A cost that changes with the number of units produced

• A cost that is the same no matter how many units are produced

• The sum of fixed costs and variable costs

• The cost of producing an additional unit of a good

What do total costs equal?

• The sum of fixed costs and variable costs

• The cost of producing an additional unit of a good

• The cost that changes with the number of units produced

• The cost that is the same no matter how many units are produced

What is average total cost?

• The sum of fixed costs and variable costs

• The cost of producing an additional unit of a good

• The total cost divided by the quantity of output

• The cost that changes with the number of units produced

What is marginal cost?

• A cost that changes with the number of units produced

• A cost that is the same no matter how many units are produced

• The sum of fixed costs and variable costs

• The cost of producing an additional unit of a good

Is the marginal cost of adding a passenger at the last minute close to zero for an airline?

• Yes, because the airline doesn't have to pay any more for fuel, pilot, or flight attendants

• No, because the airline incurs additional costs for fuel, pilot, and flight attendants

• Yes, because the airline only needs to provide a free Coke to the passenger

• No, because the airline has to pay for cleaning an additional cabin

Costs of equipment and fees for operating licenses are

• fixed costs

• variable costs

Firms want to maximize

• Money

• Profit

• Revenue

• Costs

The word Ms. Hardesty always wants you to know how to spell is spelled

(a)  

Price x Quantity gives you

• revenue

• profit