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| 1. |
Explainthe behaviourof Average Fixed Cost. Usediagram. |
| Answer» SOLUTION :In economics, AVERAGE fixed cost (AFC) is the fixed COSTS of PRODUCTION (FC) divided by the quantity (Q) of output produced.As the total number of UNITS of the good produced increases, the average fixed cost decreases because the same amount of fixed costs is being spread over a larger number of units of output. | |