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Maddie Noticed That Many Students on Campus Had T-Shirts and Sweatshirts

Question 136

Multiple Choice

Maddie noticed that many students on campus had t-shirts and sweatshirts with Greek organization letters or club names on them. Recognizing that there was a huge market for this attire, Maddie rented a store front and a silk screening machine to get into the t-shirt business. Maddie's rent is $1,000 a month, including utilities. The silk screen machine leases for $300 a month. Maddie can buy blank t-shirts for $6 each and sweatshirts for $10 each. Maddie calculated the cost of materials for the silk screening at $2 per unit. Considering only the figures presented above, what is the variable cost for a t-shirt Maddie silk screens?


A) $8 a unit
B) $6 a unit
C) $10 a unit
D) $4 a unit

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