The Following Data Show the Total Output for a Firm

Multiple Choice

The following data show the total output for a firm when specified amounts of labour are combined with a fixed amount of capital. When answering the questions, you are to assume that the wage per unit of labour is $25 and the cost of the capital is $100. $\begin{array}{|l|l|}\hline\begin{array}{l}\text { Labour per unit of } \\\text { time }\end{array}&\text { Total Output }\\\hline 0 & 0 \\\hline 1 & 25 \\\hline 2 & 75 \\\hline 3 & 175 \\\hline 4 & 250 \\\hline 5 & 305 \\\hline\end{array}$
$\text { TABLE 7- } 4$
-Refer to Table 7- 4. Average fixed costs for 305 units of output is approximately

A) 33 cents.
B) 41 cents.
C) 45 cents.
D) 74 cents.
E) 82 cents.