Question: Total costs for ABC Distributing are $ 2 5 0 , 0 0 0 when the activity level is 1 0 , 0 0 0

Total costs for ABC Distributing are $250,000 when the activity level is 10,000 units. If variable costs are $5 per unit, what are their fixed costs?
a.
$260,000
b.
Their fixed costs cannot be determined from the information presented.
c.
$240,000
d.
$200,000

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