At 100 Units of Output,total Cost Is $22,000 and Total

question 115

Multiple Choice

At 100 units of output,total cost is $22,000 and total variable cost is $14,000.At 100 units of output,what is the value of average total cost,average variable cost,and average fixed cost,respectively?

• A) $22; $14; $8
• B) $220; $140; $80
• C) $740; $340; $400
• D) $340; $740; $60
• E) $400; $340: There is not enough information provided to determine the average fixed cost.

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Definitions:

Net Cash Flows

The total amount of cash being transferred into and out of a business, after all revenues and expenses have been accounted for.

Accumulated Depreciation

The total amount of depreciation expense that has been charged against a fixed asset since it was put into use.

Investing Section

A part of the cash flow statement that shows the cash flow from all investing activities, which typically include purchases or sales of long-term assets like property, plant, and equipment.

Store Fixtures

Pieces of equipment or furniture used in a store to display products or support retail operations.