What Would Be the Total Variable Cost at an Activity

question 63

Multiple Choice

What would be the total variable cost at an activity level of 5,600 units? Assume that this level of activity is within the relevant range.

• A)$275,330
• B)$361,570
• C)$87,808
• D)$280,336

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Definitions:

Job Simplification

The process of breaking down jobs into their simplest components and removing unnecessary tasks to increase efficiency.

Standardizing Work

The process of developing and implementing uniform procedures for tasks and operations to improve efficiency, consistency, and quality.

Highly Specialized

Pertaining to or involving specific expertise or focus on a narrow area of knowledge or activity, often requiring advanced skills or training.

Unpleasant Outcome

A result of actions or decisions that is negative or less favorable than anticipated, causing dissatisfaction or adverse effects.