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The Wacky Widget company has total fixed costs of $100,000 per year

Accounting

The Wacky Widget company has total fixed costs of $100,000 per year. The firm's average variable cost is $5 for 10,000 widgets. At that level of output, the firm's average total costs equal:

a. $10

b. $15

c. $100

d. $150

Option 1

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