Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

I cant figure out what formula to use to get the average variable cost when neither fixed or variable cost is known and vice versa

I cant figure out what formula to use to get the average variable cost when neither fixed or variable cost is known and vice versa

AM Instrument Company manufactures miniature calculators, which it sells to a limited number of exclusive dealers.AM's normal production rate is 260 units per week at a total cost of $3,200.At full capacity it can produce 340 units per week at a total cost of $3,800.

What is the average variable cost per calculator?

What is the total fixed cost?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Business Law Principles For Today's Commercial Environment

Authors: David P Twomey, Marianne M Jennings

2nd Edition

0324303947, 9780324303940

More Books

Students also viewed these Economics questions

Question

comparibilities allows any financial statement user

Answered: 1 week ago

Question

1. Why do we trust one type of information more than another?

Answered: 1 week ago