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Luisa Rentals offers machine rental services for concrete cutting. Consider the following costs of the company over the relevant range of 4 , 0 0

Luisa Rentals offers machine rental services for concrete cutting. Consider the following costs of the company over the relevant range of 4,000 to 10,000 hours of operating time for its concrete cutting equipment.
Hours of Operating Time
4,000
5,000
8,000
10,000
Total Costs:
Variable Costs
$ 20,000
?
?
?
Fixed Costs
82,000
?
?
?
Total Costs
$102,000
?
?
?
Cost per hour:
Variable cost
?
?
?
?
Fixed cost
?
?
?
?
Total cost per hour
?
?
?
?
What is the estimated total cost per hour at a volume of 8,000 hours?
Select one:
A.
$15.25
B.
$14.25
C.
$18.00
D.
$12.50

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