Answer:
The average fixed cost is $2.4.
Explanation:
Vipsana's Gyros House sells gyros.
The cost of ingredients​ to make a gyro is​ $2.00. Â
Vipsana pays her employees​ $60 per day. Â
She also incurs a fixed cost of​ $120 per day.
The cost incurred on ingredients and workers is a variable cost. Â
The total fixed is thus $120. Â
The average fixed cost for 50 gyros
= [tex]\frac{TFC}{Q}[/tex]
= [tex]\frac{120}{50}[/tex]
= $2.4