SOLUTION: A local farmer produces honey and sells it at a roadside stand. This year he produced 400 pounds. His average total cost (ATC) was $5.70 per pound and his average variable cost
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Question 950371: A local farmer produces honey and sells it at a roadside stand. This year he produced 400 pounds. His average total cost (ATC) was $5.70 per pound and his average variable cost (AVC) was $3.10 per pound. Find his total fixed cost (TFC) Answer by macston(5194) (Show Source):
You can put this solution on YOUR website! Total cost=total variable cost + total fixed cost
Total cost-total variable cost=Total fixed cost
($5.70/lb)(400 lb)-($3.10/lb)(400 lb)=Total fixed cost
$2280-$1240=$1040 ANSWER: Total Fixed Cost was $1040.
