The Clauson Company Has Total Fixed Costs of $400,000

question 349

Multiple Choice

The Clauson Company has total fixed costs of $400,000. They also have $120,000 in total variable costs. These costs exist at a production level of 80,000 units.
-The Clauson Company fixed cost per unit is

• A) $6.50.
• B) $1.50.
• C) $5.00.
• D) $3.50.

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Definitions:

First Cervical

Referring to the first cervical vertebra (C1), also known as the atlas, which supports the skull and enables head movements.

Atlas

The first cervical vertebra of the spine, supporting the skull and allowing the head to nod and rotate.

Anterior Part

The front aspect or part of something, often referred to in the context of the body.

Vertebra

A bone in the spine that forms part of the vertebral column.