Use the Following to Answer Question

question 233

Multiple Choice

Use the following to answer question:
-(Table: Cakes) Use Table: Cakes.Pat is opening a bakery to make and sell special birthday cakes.She is trying to decide how many mixers to purchase.Her estimated fixed and average variable costs if she purchases 1,2,or 3 mixers are shown in the table.Assume that average variable costs do not vary with the quantity of output.If Pat purchases 2 mixers and bakes 100 cakes per day,what is her average total cost?

• A)$8
• B)$10
• C)$15
• D)$22

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Definitions:

Credit Terms

Credit terms are the conditions under which a seller extends credit to a buyer, detailing the repayment period, interest rate, and the consequences of late payment.

Management Of Payments

The process of overseeing and conducting all transactions related to payments, including the timing and amounts of money going in and out of a business.

Invoice

A document issued by a seller to a buyer, detailing products or services provided, their prices, and the total amount due for payment.

Net 30

A payment term indicating that payment is due in full 30 days after goods are delivered or a service is completed.