1) Total costs for Rogers Distribution are $320,000 when the activity level is 15,000 units. If variable costs are $4 per unit, what are their fixed costs?

A) $305,000

B)$335,000

C) $260,000

D) Their fixed costs cannot be determined from the information presented.

2) Which of the following costs are variable?

Cost	15,000 Units	45,000 Units
1	$22,500	$67,500
2	$30,000	$120,000
3	$90,000	$90,000
4	$75,000	$225,000

A) 1 and 4

B) Only 1

C) Only 2

D) 1 and 2

3) Fixed costs are expenses that ________.

A) remain constant on a per-unit basis

B) vary in total to changes in activity level

C) remain constant as activity changes

D) increase on a per-unit basis as activity increases

4)

The following represents average cost per unit assuming 15,000 units of production.
	Cost per Unit
Direct Materials	$ 12
Direct Labor	$ 10
Indirect Materials	$ 5
Fixed Manufacturing Overhead	$ 4
Variable Manufacturing Overhead	$ 3
Fixed Administrative Costs	$ 8
Variable Selling Commissions	$ 25

- If 10,000 units are produced, the variable cost per unit is ________.

- If 18,000 units are produced, the variable cost per unit is ________.

- If 11,000 units are produced, the total variable costs are ________.

- If 23,000 units are produced, the total manufacturing overhead costs are ________.