Question: 9. Test Company derived the following cost function for the production of its product. Cost = $16,000 + $10X, where x is the number of
9.
Test Company derived the following cost function for the production of its product.
Cost = $16,000 + $10X, where x is the number of units.
Next month, Test Company expects to produce 4,000 units.
Suppose production is less than expected so that Test Company only produces 3,500 units. Total fixed cost will
| Increase | ||
| Decrease | ||
| Remain unchanged | ||
| An incorrect answer because Blackboard requires four choices |
10.
-
Test Company derived the following cost function for the production of its product.
Cost = $16,000 + $10X, where x is the number of units.
Next month, Test Company expects to produce 4,000 units.
Suppose production is less than expected so that Test Company only produces 3,500 units. Variable cost per unit will
Increase
Decrease
Remain unchanged
An incorrect answer because Blackboard requires four choices
11.
Test Company derived the following cost function for the production of its product.
Cost = $16,000 + $10X, where x is the number of units.
Next month, Test Company expects to produce 4,000 units.
Suppose production is less than expected so that Test Company only produces 3,500 units. Fixed cost per unit will
| Increase | ||
| Decrease | ||
| Remain unchanged | ||
| An incorrect answer because Blackboard requires four choices |
12.
Test Company derived the following cost function for the production of its product.
Cost = $16,000 + $10X, where x is the number of units.
Next month, Test Company expects to produce 4,000 units.
Suppose production is less than expected so that Test Company only produces 3,500 units. Total cost per unit will
| Increase | ||
| Decrease | ||
| Remain unchanged | ||
| An incorrect answer because Blackboard requires four choices |
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