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With fixed costs of Rs. 400, a firm has average total costs of Rs. 3 and average variable costs of Rs. 2.50. Its output is:

Question:

With fixed costs of Rs. 400, a firm has average total costs of Rs. 3 and average variable costs of Rs. 2.50. Its output is:

A.

200 units.

B.

400 units.

C.

800 units.

D.

1,600 units.

Answer» c. 800 units.

Note: The above multiple-choice question is for all general and Competitive Exams in India