Question
Harbor Manufacturing is trying to predict the cost associated with producing its anchors. At a production level of 4,000 anchors, Harbor Manufacturings average cost per
Harbor Manufacturing is trying to predict the cost associated with producing its anchors. At a
production level of 4,000 anchors, Harbor Manufacturings average cost per anchor is $50.00. If
$20,000 of the total costs are fixed, what is the variable cost of producing each anchor?
A. $ 5
B. $ 50
C. $ 45
D. $180,000
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Managerial Accounting
Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
13th Edition
978-0073379616, 73379611, 978-0697789938
