Figure 11-6a
-Suppose you are the owner of a picture frame store.Assume that the average price customers are willing to pay for each picture frame is $120.20.20.20.20.20.20.20.Also,suppose your fixed costs (FC)total $32,000 (real estate taxes,interest on a bank loan,etc.)and unit variable cost (UVC)for a picture frame is $40 (labor,glass,frame,and matting).According to Figure 11-6a,how much profit will your picture frame store make if it sells 400 picture frames?
A) $48,000
B) $32,000
C) $16,000
D) $0
E) $64,000

Question

Figure 11-6a 
-Suppose you are the owner of a picture frame store.Assume that the average price customers are willing to pay for each picture frame is $120.20.20.20.20.20.20.20.Also,suppose your fixed costs (FC)total $32,000 (real estate taxes,interest on a bank loan,etc.)and unit variable cost (UVC)for a picture frame is $40 (labor,glass,frame,and matting).According to Figure 11-6a,how much profit will your picture frame store make if it sells 400 picture frames?
A) $48,000 
B) $32,000 
C) $16,000 
D) $0 
E) $64,000

Quizplus · Accepted Answer

The Answer of Figure 11-6a 
-Suppose you are the owner of a picture frame store.Assume that the average price customers are willing to pay for each picture frame is $120.20.20.20.20.20.20.20.Also,suppose your fixed costs (FC)total $32,000 (real estate taxes,interest on a bank loan,etc.)and unit variable cost (UVC)for a picture frame is $40 (labor,glass,frame,and matting).According to Figure 11-6a,how much profit will your picture frame store make if it sells 400 picture frames?
A) $48,000 
B) $32,000 
C) $16,000 
D) $0 
E) $64,000

Figure 11-6a -Suppose You Are the Owner of a Picture Frame Store.Assume