Total costs are $180,000 when 10,000 units are produced; of this amount, variable costs are $64,000. What are the total costs when 17,000 units are produced? Assume the new quantity is within the relevant range. Select one: a. $306,000 O b. $224,800 c. $116,000 d. None of the answers given X e. $231,200

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter14: Capital Structure Management In Practice
Section14.A: Breakeven Analysis
Problem 7P
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Solution method please.
Total costs are $180,000 when 10,000
units are produced; of this amount,
variable costs are $64,000. What are
the total costs when 17,000 units are
produced? Assume the new quantity
is within the relevant range.
Select one:
a. $306,000
b. $224,800
c. $116,000
d. None of the answers given X
e. $231,200
Transcribed Image Text:Total costs are $180,000 when 10,000 units are produced; of this amount, variable costs are $64,000. What are the total costs when 17,000 units are produced? Assume the new quantity is within the relevant range. Select one: a. $306,000 b. $224,800 c. $116,000 d. None of the answers given X e. $231,200
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