Using the Variable Cost Concept, Determine the Selling Price for 30,000

question 161

Multiple Choice

Using the variable cost concept, determine the selling price for 30,000 units using the following data: Variable cost per unit
$15) 00
Total fixed costs
$90,000
Desired profit

• A) $10 $150,000
• B) $15
• C) $8
• D) $23

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Definitions:

Lean Manufacturing

A systematic method for minimizing waste within manufacturing systems while simultaneously maximizing productivity.

Labor Tasks

Specific duties or work activities performed by employees as part of their job responsibilities.

Lean Manufacturing

An organized approach to reducing waste in a production system without compromising efficiency.

Make to Stock

A production strategy where products are manufactured in anticipation of demand, based on forecasts, and stored in inventory.