Refer to Figure 8.4. If twelve microwave ovens are produced, Micro Oven's total fixed costs are

A) $25.
B) $41.67.
C) $50.
D) $300.

Question

Refer to Figure 8.4. If twelve microwave ovens are produced, Micro Oven's total fixed costs areA)  $25.B)  $41.67.C)  $50.D)  $300.

Rekha Khosla · Accepted Answer

Final Answer : D, Explanation :  Total fixed costs do not change with the level of production. Therefore, if the fixed costs are $300, they remain $300 regardless of the number of microwave ovens produced.

Refer to Figure 8.4. If twelve microwave ovens are produced, Micro Oven's total fixed costs are

A) $25.
B) $41.67.
C) $50.
D) $300.

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