Wu Company incurred $97,200 of fixed cost and $111,600 of variable cost when 3,100 units of product were made and sold.If the company's volume doubles, the total cost per unit will:Multiple Choicedecrease.○ stay the same.Оdouble as well.Increase but will not double.

Total cost per unit will decrease because the fixed cost per unit decreased. TOTAL Fixed cost…

Answered: Wu Company incurred $97,200 of fixed…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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What is the break-even point in sales units? (see attached)
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Wu Company incurred $97,200 of fixed cost and $111,600 of variable cost when 3,100 units of product were made and sold. If the company's volume doubles, the total cost per unit will: Multiple Choice decrease. ○ stay the same. О double as well. Increase but will not double.