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 12,000 units are produced? Assume the new quantity is within the relevant range. Select one: O a. $199,200 O b. $116,000 O c. $192,800 O d. $216,000 O e. None of the answers given

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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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 12,000 units are produced? Assume the new quantity is within the relevant range.
Select one:
O a. $199,200
O b. $116,000
O c. $192,800
O d. $216,000
O e. None of the answers given
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 12,000 units are produced? Assume the new quantity is within the relevant range. Select one: O a. $199,200 O b. $116,000 O c. $192,800 O d. $216,000 O e. None of the answers given
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