Kilwin's Candies produced and sold 600 boxes of chocolate covered popcorn last month and had total variable costs of $2,100 that reflected the costs of chocolate and popcorn (ingredients) .Each box of popcorn sells for $12.00.If production and sales are expected to increase by 10% next month, which of the following statements is true?
A) Total variable costs are expected to be $1,785
B) Variable cost per unit is expected to be $3.50
C) The incremental cost per unit is expected to be $0.35
D) Unit variable costs are expected to be $2.10
Correct Answer:
Verified
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