If Lonnie were to sell 42,000 units,the total expected cost would be:
A) $105,000
B) $100,000
C) $103,000
D) $102,000

Name: If Lonnie were to sell 42,000 units,the total expected cost would be: A) $105,000 B) $100,000 C) $103,000 D) $102,000
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Question

Quizplus · Accepted Answer

Variable cost per unit = Total variable cost ÷ Units = $60,000 ÷ 40,000 = $1.50 per unit
Total cost = Fixed cost + (Variable cost per unit × Units) = $40,000 + ($1.50 per unit × 42,000 units)
= $103,000

If Lonnie Were to Sell 42,000 Units,the Total Expected Cost