A Graph of a Flexible Budget Formula Reflects Fixed Costs

question 182

Multiple Choice

A graph of a flexible budget formula reflects fixed costs of $45,000 per month and total costs of $100,000 at a volume of 5,000 units.Assuming the relevant range is 1,000 to 20,000 units,the graph would reflect total monthly costs at 15,000 units of what dollar amount?

• A)$210,000
• B)$100,000
• C)$345,000
• D)$165,000

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Definitions:

Constitution

The fundamental principles or established precedents according to which a state or other organization is governed.

Economic Freedom

The fundamental right of every human to control his or her own labor and property, including the freedom to trade and to partake in markets.

Capitalism

An economic system characterized by private or corporate ownership of capital goods, investments determined by private decision, and prices, production, and the distribution of goods determined primarily by competition in a free market.

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Fundamental beliefs or guiding principles that dictate behavior and can help people understand the difference between right and wrong.