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At a Sales Volume of 25 Units the Average Cost

Question 82

Multiple Choice

At a sales volume of 25 units the average cost is $205 per unit and the variable cost is $5 per unit. Assuming a linear cost behavior pattern, if sales double to 50 units the average cost will be:


A) $110
B) $105
C) $205
D) $210

Correct Answer:

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