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Hedge Fun Is a Landscaping Firm That Specializes in Topiary

Question 7

Multiple Choice

Hedge Fun is a landscaping firm that specializes in topiary.It contracts with the owners of 125 local homes and provides its service at an annual fee of $1,300.Its average variable cost is $800,and its annual fixed cost is $28,000.What is the break-even level of output?


A) 125.
B) 87.
C) 63.
D) 56.
E) None of the above.

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