Which curve is not affected by fixed cost ........

Which curve is not affected by fixed cost ?

MC Curve

TC Curve

AC Curve

AFC Curve

- MC Curve (Option 1): The Marginal Cost (MC) Curve is not affected by fixed costs. It only reflects changes in variable costs as output changes.

- Correct Answer

- TC Curve (Option 2): The Total Cost (TC) Curve includes both fixed and variable costs. So, fixed costs do affect it.

- AC Curve (Option 3): The Average Cost (AC) Curve is affected by fixed costs as they are part of the total cost divided by the quantity of output.

- AFC Curve (Option 4): The Average Fixed Cost (AFC) Curve reflects only fixed costs and thus is affected by them as output changes.

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