Multiple Choice
Use the following to answer questions:
-(Table: Variable Costs for Lawns) Look at the table Variable Costs for Lawns. During the summer, Alex runs a lawn-mowing service in a perfectly competitive industry. Assume that costs are constant in each interval; that is, the variable cost of mowing 1 through 10 lawns is $100. His only fixed cost is $1,000 for the mower. His variable costs include fuel, his time, and mower parts. What is Alex's break-even price?
A) $100.00
B) $10.00
C) $50.00
D) $27.50
Correct Answer:

Verified
Correct Answer:
Verified
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