Use the Information Below to Answer the Following Question(s)

question 35

Multiple Choice

Use the information below to answer the following question(s) .Action Mopeds manufactures mopeds.The following information pertains to the company's normal operations per month:

-What is the unit cost for establishing a minimum bid on a one-time-only special order of 1,000 mopeds from an overseas city if all cost relationships remain the same except for a one-time setup charge of $40,000?

• A)$269.50
• B)$309.50
• C)$285.50
• D)$360.50
• E)$344.50

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Definitions:

Unsystematic Risk

Unsystematic risk refers to the risk associated with individual investments or sectors, not affected by broader market movements.

Expected Rate of Return

The probable returns on an investment averaged over a period, accounting for the varying risks and rewards.

CSCO

The stock ticker symbol for Cisco Systems, Inc., a multinational technology conglomerate.

Risk-Free Rate

The theoretical rate of return of an investment with zero risk of financial loss, often represented by the yield on short-term government securities.