The Akron Slugger Company produces various types of wooden baseball bats. It has calculated the average cost per unit of a production level of 7600 bats to be $13. Given this information, what would be the total cost of producing 7600 baseball bats?
A)$7613
B)$98,800
C)$13
D)$988

Question

Quizplus · Accepted Answer

The total cost of producing 7600 baseball bats can be calculated by multiplying the average cost per unit ($13) by the production level (7600 bats): $13 x 7600 = $98,800. Therefore, the correct answer is B. Choice A is incorrect because it only includes the average cost per unit, not the total cost. Choice C is incorrect because it only gives the average cost per unit, not the total cost. Choice D is incorrect because it only gives a portion of the total cost.

The Akron Slugger Company Produces Various Types of Wooden Baseball