If Smart Touch Learning Increases Its Production of Tablet Computers,what

question 242

Multiple Choice

If Smart Touch Learning increases its production of tablet computers,what will be the effects on the variable and fixed costs per tablet?

• A) variable costs per tablet decrease, fixed costs per tablet increase
• B) variable costs per tablet increase, fixed costs per tablet is constant
• C) variable costs per tablet increase, fixed costs per tablet decrease
• D) variable costs per tablet is constant, fixed costs per tablet decrease

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Definitions:

Installment Note

A debt instrument that requires regular payments, or installments, of principal and interest over a specified period.

Fiscal Year

A one-year period used for financial reporting and budgeting, which does not necessarily coincide with the calendar year.

Principal Repayment

The portion of a loan payment that goes toward reducing the amount borrowed, not including interest.

Federal Income Tax

A tax levied by the United States federal government on the annual earnings of individuals, corporations, trusts, and other legal entities.