At an Activity Level of 5,300 Machine-Hours in a Month

question 7

Multiple Choice

At an activity level of 5,300 machine-hours in a month, Clyburn Corporation's total variable maintenance cost is $114,268 and its total fixed maintenance cost is $154,336.
-What would be the average fixed maintenance cost per unit at an activity level of 5,600 machine-hours in a month? Assume that this level of activity is within the relevant range.

• A)$50.68
• B)$27.56
• C)$35.79
• D)$29.12

---

Definitions:

Attribution

A concept in psychology referring to how people explain the causes of their own and others' behaviors and outcomes, often as internal dispositions or external situations.

Cognitive Dissonance

The mental discomfort experienced by a person who holds two or more contradictory beliefs, ideas, or values at the same time.

Fundamental Attribution Error

The fundamental attribution error is a bias in social psychology where individuals tend to attribute others' actions to their character or personality, while underestimating situational influences.

Attribution Theory

A theory focused on how people interpret and understand causes behind others' behavior and their own.