-In the Above Table, What Is the Average Variable Cost

question 45

Multiple Choice

-In the above table, what is the average variable cost to produce 4 units of output?

• A) $30
• B) $60
• C) $55
• D) $20

---

Definitions:

Automated Shaper

A machine that uses computer controls to cut and shape materials with precision, often used in manufacturing for consistent and efficient production.

Manufacturing Overhead

Costs associated with manufacturing a product that are not directly tied to the factory's operations.

Job-Order Costing

A cost accounting system that assigns manufacturing costs to an individual product or batches of products.

Predetermined Overhead Rate

A calculated rate used to charge manufacturing overhead costs to products, usually based on a fraction of planned or actual production volumes.