O'Connor Lamp Factory Has Total Fixed Costs of $4500

question 113

Multiple Choice

O'Connor Lamp Factory has total fixed costs of $4500.O'Connor Lamp Factory's average variable cost per lamp is $30 and its average total cost is $45.O'Connor Lamp Factory sells each lamp for $100 each.How many lamps is O'Connor Lamp Factory currently manufacturing:

• A)200 lamps.
• B)250 lamps.
• C)300 lamps.
• D)a number of lamps that is indeterminate from this information.

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Definitions:

Normal Credit Balances

Accounts on a company's balance sheet that are expected to have credit balances, such as liabilities, equity, and revenue.

Periodic Inventory System

An inventory accounting system where updates are made on a periodic basis, typically at the end of an accounting period, rather than continuously.

Perpetual Inventory System

An inventory management method where records of inventory quantities are updated on a continuous basis as sales and purchases are made.

Statement Of Income

A financial document that outlines a company's revenues, expenses, and net income over a specific period, providing insight into financial performance.