The Firm's Fixed Costs Are $60 000, Variable Cost Per

question 60

Multiple Choice

The firm's fixed costs are $60 000, variable cost per unit is $15 and selling price per unit is $20. The contribution margin per unit is

• A) $5.
• B) $15.
• C) $20.
• D) $35.

---

Definitions:

Cave

A natural underground chamber, generally large enough for a person to enter.

Dissolution

The process of a solid substance becoming incorporated into a liquid to form a solution.

Limestone

A sedimentary rock composed mainly of calcium carbonate, often formed from the shells and skeletons of marine organisms.

Outer Weathered Zone

The top layer of the Earth's surface, altered by weathering processes, involving the physical and chemical breakdown of rocks and minerals.