Multiple Choice
Citrus,Inc.used the high-low method to estimate that its fixed costs are $210,000.At its low level of activity,100,000 units,average cost was $2.60 per unit.What would Citrus predict its average cost per unit to be when production is 200,000 units?
A) $1.05
B) $1.55
C) $2.60
D) $5.20
Correct Answer:
Verified
Correct Answer:
Verified
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