What Is the Total Variable Cost When Output Is 100

question 26

Multiple Choice

What is the total variable cost when output is 100 units in Figure 21.2?

• A) $9,600.
• B) $296.
• C) $200.
• D) $20,000.

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Definitions:

Operating Activities

Activities that are directly related to the primary operations of a company, such as selling products or services, which are reflected in the company's cash flow.

Net Cash

The amount of cash remaining after all operating, investing, and financing activities have been accounted for over a certain period.

Operating Activities

Business activities related to the day-to-day functions of a company, including production, sales, and administrative tasks.

Free Cash Flow

The amount of cash generated by a business after accounting for capital expenditures, essential for assessing the company's liquidity, flexibility, and overall financial performance.