A firm expects to sell 25,200 units of its product at $7 per unit. Pretax income is predicted to be $60,200. If the variable costs per unit are $3, total fixed costs must be: Multiple Choice $15,400. $176,400. $75,600. $40,600.

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter3: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 6MC: If a company has fixed costs of $6.000 per month and their product that sells for $200 has a...
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A firm expects to sell 25,200 units of its product at $7 per unit. Pretax income is predicted to be $60,200. If the variable costs per unit are $3, total fixed
costs must be:
Multiple Choice
O $15,400.
$176,400.
$75,600.
$40,600.
$116,200.
Transcribed Image Text:A firm expects to sell 25,200 units of its product at $7 per unit. Pretax income is predicted to be $60,200. If the variable costs per unit are $3, total fixed costs must be: Multiple Choice O $15,400. $176,400. $75,600. $40,600. $116,200.
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