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A manufacturer of cooking utensils sells kitchen knives. At current output levels, the knives cost $20 each to produce, of which $12 is per-unit fixed
A manufacturer of cooking utensils sells kitchen knives. At current output levels, the knives cost $20 each to produce, of which $12 is per-unit fixed cost and $8 is variable. If the manufacturer doubled the quantity of knives sold, what would happen to costs? The total cost per knife would increase to $32, The total cost per knife would increase to $28, The total cost per knife would decrease to $16, or The total cost per knife would decrease to $14
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