Amy borrowed $20,000 from her parents to open a bagel shop. She pays her parents a 5% yearly return on the money they lent her. Her other yearly fixed costs equal to $9,000. Her variable costs equal $30,000. In her first year, Amy sold 40,000 dozen at a price of $1.50 per dozen.

Amy's total costs equal

A. $40,000.

B. $39,000.

C. $59,000.

D. $50,000.

Answer rating: 100% (QA)

Total fixed costs are those that remain constant a... View the full answer