A company that produces and sells a single product has provided the following volume and average cost data for two accounting periods: The best estimates of the total fixed cost and variable cost per unit are closest to:
A)$2,000 fixed;$1.50 variable
B)$2,000 fixed;$7.00 variable
C)$3,000 fixed;$7.00 variable
D)$3,000 fixed;$8.50 variable

Question

A company that produces and sells a single product has provided the following volume and average cost data for two accounting periods:  The best estimates of the total fixed cost and variable cost per unit are closest to:
A)$2,000 fixed;$1.50 variable 
B)$2,000 fixed;$7.00 variable 
C)$3,000 fixed;$7.00 variable 
D)$3,000 fixed;$8.50 variable

Quizplus · Accepted Answer

The Answer of A company that produces and sells a single product has provided the following volume and average cost data for two accounting periods:  The best estimates of the total fixed cost and variable cost per unit are closest to:
A)$2,000 fixed;$1.50 variable 
B)$2,000 fixed;$7.00 variable 
C)$3,000 fixed;$7.00 variable 
D)$3,000 fixed;$8.50 variable

A Company That Produces and Sells a Single Product Has