Question: Extron, Inc., has only variable costs and fixed costs. A review of the company's records disclosedthat when 100,000 units were produced, fixed manufacturing costs amounted

Extron, Inc., has only variable costs and fixed costs. A review of the company's records disclosedthat when 100,000 units were produced, fixed manufacturing costs amounted to $200,000 and thecost per unit manufactured totaled $5. On the basis of this information, how much cost would thefirm anticipate at an activity level of 97,000 units?

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