Table 14-10
Suppose that a firm in a competitive market faces the following revenues and costs:

Quantity

Total Revenue

Total Cost

0

$0

$3

1

$7

$5

2

$14

$9

3

$21

$15

4

$28

$23

5

$35

$33

6

$42

$45

7

$49

$59

Refer to Table 14-10. Which level of production in the table has the lowest average variable cost?

a. 2 units
b. 3 units
c. 1 unit
d. 4 units

the answer is a, but I need the reason

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