Multiple choice

Total output (Units) 0 10 20 30 Total cost (Rs) 100 200 290 390 As per above Table, Fixed cost = ?

  1. $200$
  2. $150$
  3. $290$
  4. $100$
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Fixed cost is the cost when output is 0. From the table, at 0 units, Total cost = 100.

AI explanation

Fixed cost is the cost incurred when the output level is zero. By observing the table at an output of 0 units, the total cost is Rs 100. Because variable costs are zero at zero output, the total cost equals the fixed cost. The result is 100.

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