- CFA Exams
- CFA Level I Exam
- Topic 2. Economics
- Learning Module 1. The Firm and Market Structures
- Subject 3. Marginal Revenue, Marginal Cost and Profit Maximization
CFA Practice Question
If average fixed cost is $2 and average variable cost is $3, then total cost is $5. True or False?
Correct Answer: False
User Contributed Comments 4
| User | Comment |
|---|---|
| AdrianCighi | $5= AVERAGE total cost |
| guna | Watchout for the word "Average" |
| Oarona | Thanks for the hint |
| papajohn | How about if output is 1 unit? |