A Company Has Monthly Fixed Costs of $112,000

question 71

Multiple Choice

A company has monthly fixed costs of $112,000.The variable costs are $5.00 per unit.If the sales price of a unit is $20.00 and we sell 8,000 units,the company's average fixed costs per unit will be:

• A)$19.00 per unit.
• B)$ 5.00 per unit.
• C)$14.00 per unit.
• D)$15.00 per unit.

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