Total variable cost refers to the sum of all costs that vary with the level of production, such as labor and raw materials. It does not include fixed costs.
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Average Variable Cost (AVC): AVC is calculated by dividing total variable cost by the quantity produced. It represents the average cost per unit of output.
Marginal Cost: Marginal cost refers to the additional cost incurred from producing one more unit of output.
Total Cost: Total cost includes both fixed costs and variable costs. It represents the sum of all expenses associated with production.