CalcuCo Hired Effner & Associates to Design a New Computer-Aided

Multiple Choice

CalcuCo hired Effner & Associates to design a new computer-aided manufacturing facility. The new facility was designed to produce 300 computers per month. The variable costs for each computer are $660 and the fixed costs total $74,700 per month. The average cost per unit, if the facility normally expects to operate at eighty-five percent of capacity, is calculated to be (round to nearest cent) :

A) $952.94.
B) $909.00.
C) $936.67.
D) $971.25.
E) $942.47.