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Sabrina Company manufactures large leisure boats. The following schedule shows total fixed costs at various levels of boat production: Units Produced: 0100, 101400, 401900 Total
Sabrina Company manufactures large leisure boats. The following schedule shows total fixed costs at various levels of boat production:
Units Produced: 0100, 101400, 401900
Total Fixed Costs: $150,000, 250,000, 400,000
1. What is the fixed cost per unit when 75 boats are produced?
2. What is the fixed cost per unit when 300 boats are produced?
3. What is the fixed cost per unit when 750 boats are produced?
4. Plot total fixed costs on a graph similar to that shown in Exhibit XX.
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