Pedro Company Has Total Fixed Costs of $480,000

question 238

Multiple Choice

Pedro Company has total fixed costs of $480,000. Total fixed and variable costs are $600,000 at a production level of 125,000 units.
-At Pedro Company the variable cost per unit at 300,000 units is

• A) $4.00
• B) $0.96
• C) $0.40
• D) $3.20

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Definitions:

Regulated Pressure

The control or maintenance of pressure levels within specific limits in a system, achieved through the use of valves, regulators, or other controlling devices.

Axle Saddle

is a part of a vehicle's chassis that supports the axle, allowing it to bear the weight of the vehicle as well as enabling smooth movement and load distribution across the axle.

Multi-leaf Spring Pack

A suspension component consisting of several layers of metal springs stacked together to absorb impact.

Multi-leaf Steel Spring Pack

An assembly of layered steel springs used in vehicle suspension systems to provide support, stability, and absorb shocks.