Mountain Manufacturing Is Trying to Predict the Cost Associated with Producing

question 100

Multiple Choice

Mountain Manufacturing is trying to predict the cost associated with producing its hiking packs. At a production level of 20,000 packs, Mountain Manufacturing's average cost per pack is $70.00.
-At Mountain Manufacturing if $200,000 of the costs are fixed, and the plant manager uses the cost equation to predict total costs, her forecast for 25,000 packs will be

• A) $1,500,000.
• B) $1,750,000.
• C) $1,400,000.
• D) $1,700,000.

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Definitions:

Rationalizations

Rationalizations are justifications or excuses made for one's behavior that deviate from what they know is right, often to self-soothe or avoid guilt.

Unethical Behaviour

Actions or practices that violate moral or professional guidelines, often resulting in harm to others or the environment.

Ambiguous Situations

Circumstances that lack clarity or precision, often leading to uncertainty or differing interpretations among individuals.

Organizational Interests

The goals, values, and objectives that an organization seeks to achieve and maintain.