Hadrana Corporation Reports That at an Activity Level of 5,500

question 101

Multiple Choice

Hadrana Corporation reports that at an activity level of 5,500 units, its total variable cost is $275,330 and its total fixed cost is $86,240. What would be the average fixed cost per unit at an activity level of 5,600 units? Assume that this level of activity is within the relevant range.

• A)$32.27
• B)$15.68
• C)$65.74
• D)$15.40

---

Definitions:

Local Identifier

A name given to a variable or other program element, which is only accessible within the scope where it is declared.

Static Double

This could describe a static variable of the type double in a programming context. A static variable retains its value between method calls and is often used for values that are constant or method-independent.

Accompanying Figure

An illustrative image or diagram provided to complement or clarify textual information, often found in books or academic papers.

Tester Program

A program designed to test the functionality of other software components or modules, often for errors or bugs.