Question

A factory producing motorcycle helmets employs six workers. At the current production level, each worker produces 20 helmets per week. Assuming that labor is the only variable input and that the weekly wage equals $600 per week, average variable cost:

a.) equals $600 per helmet.
b.) equals $30 per helmet.
c.) equals $100 per helmet.
d.) equals $20 per helmet.
e.) cannot be determined with info. given

Answer 1

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