1.

Calculate Total Variable Cost, Total Fixed Cost, Total Cost, Average Fixed Cost, Average Variable Cost, Average Total Cost. {:("(i) Rent","10,000"),("(ii) Number of workers employed","50"),("(iii) Salary paid to each worker","200"),("(iv) Interest on capital","5,000"),("(v) Raw material purchased","6,000"),("(vi) Total quantity produced","100"),("(vii) Insurance premium paid","1,500"):}

Answer»

SOLUTION :`"TVC"="RAW material purchased"+"salary " ("no. of workers "xx" salary paid to each WORKER")`
`=6000+(200xx50)=6000+1000=16,000`
`TFC="Rent"+"INTEREST on capital"+"Insurance PREMIUM paid"`
`=10000+5000+1500=16500`
`TC=TVF+TFC=16,000+16500=32,500`
`AFC=165`
`AVC=160`
`ATC=325`


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