A company sells 10,000 units at a cost of $10 per unit for a total of $200,000 in costs. The same company sells 20,000 units at the same cost of $10 per unit for a total of $300,000 in costs. What are these costs called?

Question

Quizplus · Accepted Answer

Total costs are the sum of all costs incurred by a company in producing and selling its products or services. In this case, the total costs are the sum of the costs of producing 10,000 units and the costs of producing 20,000 units, which is $200,000 + $300,000 = $500,000.

A Company Sells 10,000 Units at a Cost of $10