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The Relevant Range for Maxco Industries Is 10,000 to 16,000

Question 44

Multiple Choice

The relevant range for Maxco Industries is 10,000 to 16,000 units of product. The variable costs per unit are $6 when a company produces 12,000 units of product. What are the variable costs per unit when 14,000 units are produced?


A) $4.50.
B) $5.00.
C) $5.50.
D) $6.00.
E) None of the answers is correct.

Correct Answer:

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