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Pat's Catering finds that when it caters 20 meals a week, it's total cost $6,000. If Pat has total variable cost of $5,000, what is Pat’s total fixed cost?
  1. $250
  2. $1,000
  3. $6,000
  4. None of these
Explanation

Total cost = Fixed cost + Variable cost  

$6,000 = Fixed cost + $5,000  

Fixed cost = $6,000 - $5,000 = $1,000


Last verified on 22-04-2026

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