Reference:
At a sales volume of 32,000 units, CD Company's total fixed costs are $64,000 and total variable costs are
$60,000. (Do not round intermediate calculations)
-If CD Company were to sell 50,000 units, the total expected cost per unit would be (Do not round intermediate calculations.:
A)$3.16.
B)$3.88.
C)$3.20.
D)$2.48.

Question

Reference: 
At a sales volume of 32,000 units, CD Company's total fixed costs are $64,000 and total variable costs are
$60,000. (Do not round intermediate calculations)
-If CD Company were to sell 50,000 units, the total expected cost per unit would be (Do not round intermediate calculations.:
A)$3.16.
B)$3.88.
C)$3.20.
D)$2.48.

Quizplus · Accepted Answer

Total expected cost = Total fixed costs + Total variable costsTotal expected cost = $64,000 + $60,000 = $124,000Total expected cost per unit = Total expected cost / Number of unitsTotal expected cost per unit = $124,000 / 50,000 units = $2.48

Reference: At a Sales Volume of 32,000 Units, CD Company's Total