Organize, Inc

question 47

Multiple Choice

Organize, Inc. has only variable costs and fixed costs. A review of the company's records disclosed that when 200,000 units were produced, fixed manufacturing costs amounted to $800,000 and the cost per unit manufactured totaled $11. On the basis of this information, how much cost would the firm anticipate at an activity level of 205,000 units?

• A) $2,235,000.
• B) $2,222,000.
• C) $2,214,000.
• D) $2,200,000.
• E) None of the answers is correct.

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Definitions:

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Payments made to insurance companies to provide coverage and protect against various risks or damages.

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An insurance policy where policyholders are compensated by their own insurance company, regardless of who is at fault in an accident.

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A collision deductible is the amount of money a policyholder must pay out-of-pocket for vehicle repairs before their insurance coverage pays for the remaining costs in case of a collision.

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The total amount paid per year for an insurance policy to remain valid and provide coverage.