When 40,000 Units Are Produced,fixed Costs Are $16 Per Unit

question 125

Multiple Choice

When 40,000 units are produced,fixed costs are $16 per unit.Therefore,when 80,000 units are produced,fixed costs will:

• A)increase to $32 per unit.
• B)remain at $16 per unit.
• C)decrease to $8 per unit.
• D)total $640,000.
• E)total $540,000.

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