102 the following data pertain to costs at summit company total fixed costs 300 000 4310392

102) The following data pertain to costs at Summit Company:

 Total fixed costs \$300,000 Total variable costs \$ 75,000 Production level 20,000 units

The variable cost per unit is

A) \$ 3.75.

B) \$15.00.

C) \$18.75.

D) \$11.25.

103) The following data pertain to costs at Summit Company:

 Total fixed costs \$300,000 Total variable costs \$ 75,000 Production level 20,000 units

The fixed cost per unit is

A) \$3.75.

B) \$15.00.

C) \$18.75.

D) \$11.25.

104) At Dwight Incorporated, total fixed and variable costs are \$400,000 at a production level of 100,000 units. The company has total fixed costs of \$225,000. The fixed cost per unit at a production level of 150,000 units is

A) \$4.00.

B) \$2.25.

C) \$2.67.

D) \$1.50.

105) At Dwight Incorporated, total fixed and variable costs are \$400,000 at a production level of 100,000 units. The company has total fixed costs of \$225,000. The variable cost per unit at 150,000 units is

A) \$1.75.

B) \$2.25.

C) \$4.00.

D) \$1.17.

a.What is a cost equation?

b.If a company has fixed costs of \$1,000 and variable costs of \$4 per unit, what is their cost equation?

c.What would a company use a cost equation for?

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