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MGZ Corporation Sells Its Product for $25 Per Unit

Question 183

Matching

MGZ Corporation sells its product for $25 per unit. Its cost function is TC = $390 + $12Q. Match the lettered items with the appropriate item. Each numbered item has only one correct answer. Each lettered item may be used once, more than once, or not at all.

Premises:
30 units
$390
$250
$12
$13
$25
Responses:
Total fixed costs
Profit area
None of the above
Profit at 50 units
Breakeven point
Contribution margin per unit
Loss area
Slope of the revenue line
Slope of the cost line

Correct Answer:

Total fixed costs
Profit area
None of the above
Profit at 50 units
Breakeven point
Contribution margin per unit
Loss area
Slope of the revenue line
Slope of the cost line
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