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At an Activity Level of 10,000 Units, Variable Costs Totalled

Question 10

Multiple Choice

At an activity level of 10,000 units, variable costs totalled $35,000 and fixed costs totalled $20,800. If 16,000 units are produced and this activity is within the relevant range, then:


A) fixed cost per unit would equal $5.58.
B) total unit cost would equal $4.80.
C) total costs would equal $55,800.
D) total cost would equal $89,280.

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