Home / Questions / The cost of making one more unit is called: marginal cost.unit cost. C) variabl
The cost of making one more unit is called:
A) marginal cost.
B) unit cost.
C) variable cost.
D) none of the above
7) Farm Supply plans to make 10,000 tractors at its plant. Fixed costs are $1,000,000 and variable costs are $500 per tractor. What is the average cost per tractor?
A) $600
B) $500
C) $100
D) None of the above
8) A(n) ________ cost is one whose total amount changes in direct proportion to a change in volume.
A) fixed
B) irrelevant
C) mixed
D) variable
9) Which of the following is an example of a fixed cost for a manufacturer?
A) Salary of plant manager
B) Sales commissions
C) Direct materials
D) Delivery costs
10) Which of the following describes the way in which variable costs per unit behave?
A) They will decrease as production increases.
B) They will increase as production decreases.
C) They will remain the same throughout production levels.
D) They will decrease as production decreases.
11) Which of the following describes the way in which total variable costs behave?
A) They remain the same throughout production levels.
B) They will decrease as production decreases.
C) They will decrease as production increases.
D) They will increase as production decreases.
12) Which of the following describes the way in which total fixed costs behave?
A) They will remain the same throughout production levels.
B) They will decrease as production decreases.
C) They will decrease as production increases.
D) They will increase as production decreases.
13) Which of the following describes the way fixed costs per unit behave?
A) They will remain the same throughout production levels.
B) They will decrease as production decreases.
C) They will increase as production increases.
D) They will increase as production decreases.
14) Variable costs:
A) are fixed in total as production levels change.
B) are fixed per unit and vary in total as productions levels change.
C) decrease per unit as production volume increases.
D) vary per unit of output as production levels change.
15) A company has monthly fixed costs of $112,000. The variable costs are $5.00 per unit. If the sales price of a unit is $20.00 and we sell 8,000 units, the company's average fixed costs per unit will be:
A) $19.00 per unit.
B) $5.00 per unit.
C) $14.00 per unit.
D) $15.00 per unit.
Dec 07 2019 Read more Less More
Felton Inc. had the following information related to last year’s purchases: Cost of goods sold$600,000Accounts payable - beginning25,000Accounts payable - ending40,000 ...
Jan 11 2020As a financial consultant, you have contracted with Wheel Industries to evaluate their procedures involving the evaluation of long term investment opportunities. You have...
Aug 09 2020Gemma Products produces and sells a variety of domestic goods including sheets. In the current year, the company budgeted for the production and sale of 10,000 sets; howe...
Jan 09 2020Develop & support a thesis statement about the “Cosby Show” from a cultural studies perspective. How would a cultural studies advocate analyze & critique the “Cosby Show’...
Apr 15 2020Insurance companies in general must guard against having a disproportionate number of bad risks as policyholders. For their own profitability, they need to see the total...
Aug 10 2020How does the concept of a global village affect organizations and managers?
Apr 29 2020How does the fact that many goods are non traded affect the extent of possible gains from trade?
Mar 30 2020Read the case study first then respond to all three questions concerning the theoretical contructs and application of development theorists Freud, Skinner, and Rogers. >
Mar 22 2020In a deflationary period, the appropriate policy for the RBI would be to [A]Buy government securities in the open market [B]Discourage commercial banks to increase thei...
Jan 12 2018Compute the gradient ∇ f (x) and Hessian ∇2 f (x) of the Rosenbrock functionShow that x∗ (1, 1)T is the only local minimizer of this function, and that the Hessian matrix...
Aug 06 2020
Welcome to MyCourseHelp Services, World's leading Academic solutions provider with Millions of Happy Students.
