Regular Production Costs $15 Per Unit and Selling a Unit

question 36

Multiple Choice

Regular production costs $15 per unit and selling a unit represents a cash inflow of $25 per unit. Assume that all units reflected on the forecast will be sold. What is the net cash flow for March? $$\begin{array} { | l | c | c | } \hline{ \text { Month } } & \text { Forecast } & \text { Regular Production } \\\hline \text { Tanuary } & 250 & 250 \\\hline \text { February } & 200 & 200 \\\hline \text { March } & 300 & 300 \\\hline \text { April } & 400 & 400 \\\hline\end{array}$$

• A)$11,500
• B)$7,500
• C)$4,500
• D)$3,000

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Definitions:

Starvation

A severe deficiency in caloric energy intake, below the level needed to maintain an organism's life.

Binge-eating Disorder

A disorder characterized by repeated episodes of eating large quantities of food (often quickly and to the point of discomfort), usually accompanied by feelings of loss of control and distress.

Obese Individuals

People having a body mass index (BMI) considered significantly above the healthy range, which may lead to various health risks.

Overvalue

To assign too high a value or importance to something, often beyond its intrinsic worth.