Question

At every point along the$\mathrm{AFC}$ curve in Figure$25-4$, what is true of the explicit dollar amount of this firm's total fixed costs at any given point that one might select, such as the three points displayed along the AFC curve in the figure?

Short answer

So that TFC equal$2500$

Therefore, if 157 units are produced perepoch, the AFC mustbe the same. $15.92$

Step-by-step solution

Given information 

That are given numbers are calculated by:

Such as the three points displayed along the AFC curve in the figure

Explanation 

Total Fixed cost $=2500(50+50)$

If the output rate is 250 units, $\mathrm{AFC}=\mathbf{10}$

So that TFC equal $2500$

It follows then that, if 157 units are produced per time period, AFC must equal $\mathbf{15}\mathbf{.}\mathbf{92}$