(Table: Costs of Birthday Cakes) Use Table: Costs of Birthday Cakes.Assume that fixed costs are $10.What is the average total cost of 5 cakes?

A) $110
B) $60
C) $12
D) $2

The average total cost (ATC) is calculated by dividing the total cost by the quantity of output. Here, the fixed cost is $10, and assuming each cake has the same variable cost, the total cost for 5 cakes would include this fixed cost plus the variable costs for each cake. Without specific variable costs provided, we can't calculate the exact total cost, but we can calculate the ATC as the question seems to imply a calculation based on given information. Since none is provided, the answer might be based on a misunderstanding of the question's requirements or a lack of necessary data. However, given the options and the nature of the question, it seems there might be an error in the interpretation. Normally, you'd add the fixed cost to the total variable cost, then divide by the quantity (5 cakes) to find the ATC. Without variable costs, this cannot be accurately answered, suggesting a possible mistake in the question or answer interpretation.