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The Capital Stock Is Fixed at 5 Units,the Price of Capital

Question 56

Multiple Choice

The capital stock is fixed at 5 units,the price of capital is $60 per unit,and the price of labor is $20 per unit. The capital stock is fixed at 5 units,the price of capital is $60 per unit,and the price of labor is $20 per unit. Based on the above,how much does the 12th unit of output add to the firm's total variable cost? A) $2.50 B) $4 C) $5 D) $20 E) $40 Based on the above,how much does the 12th unit of output add to the firm's total variable cost?


A) $2.50
B) $4
C) $5
D) $20
E) $40

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