We don't usually graph the AFC curve because we don't need it to show the area equal to Fixed Cost. Since AFC = ATC - AVC the vertical distance between these two curves will give us AFC at any level of output.

   On the graph to the right we pick some level of output, Q1 and find the vertical distance between the ATC and AVC curves, in this case ATC1 - AVC1, so Fixed Cost is equal to (ATC1 - AVC1) x Q1. If we show the AFC curve Fixed Cost can also be computed as AFC1 x Q1. Remember that Fixed Cost doesn't vary with output so we will find the same size area no matter what level of output we chose.

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