Situation 21-1 Diane's Donuts will begin selling donuts next week. Diane figures that the average variable cost to make each donut will be constant at $0.30. She has already paid $20,000 for the donut-making machinery and one year's rent. Refer to Situation 21-1. What will Diane's total variable costs be if she sells 36,500 donuts in c $10,950 $18,450 $22,080 O $12,500
Situation 21-1 Diane's Donuts will begin selling donuts next week. Diane figures that the average variable cost to make each donut will be constant at $0.30. She has already paid $20,000 for the donut-making machinery and one year's rent. Refer to Situation 21-1. What will Diane's total variable costs be if she sells 36,500 donuts in c $10,950 $18,450 $22,080 O $12,500
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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![Situation 21-1
Diane's Donuts will begin selling donuts next week. Diane figures that
the average variable cost to make each donut will be constant at $0.30.
She has already paid $20,000 for the donut-making machinery and one
year's rent.
Refer to Situation 21-1. What will Diane's total variable costs be if she sells 36,500 donuts in one year?
$10,950
O $18,450
$22,080
$12,500](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fb8ff7d78-49ea-4ef0-aa04-f35dca459cbe%2F6379ab37-22f8-4e0e-9053-e7671f23dfc0%2Fj18417_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Situation 21-1
Diane's Donuts will begin selling donuts next week. Diane figures that
the average variable cost to make each donut will be constant at $0.30.
She has already paid $20,000 for the donut-making machinery and one
year's rent.
Refer to Situation 21-1. What will Diane's total variable costs be if she sells 36,500 donuts in one year?
$10,950
O $18,450
$22,080
$12,500
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