2.2 Total costs for ABC Distributing are $250,000 when the activity level is 10,000 units. If variable

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2.2 Total costs for ABC Distributing are $250,000 when the activity level is 10,000 units. If variable costs are $5 per unit, what are their fixed costs?

A. $240,000 B. $200,000 C. $260,000 D. Their fixed costs cannot be determined from the information presented.? LO07

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