cheesepatrol4303 cheesepatrol4303
  • 02-09-2020
  • Business
contestada

which will typically decrease with large number of units produced, fixed costs, total variable costs, fixed cost per unit, varable cost per unit

Respuesta :

ewomazinoade ewomazinoade
  • 02-09-2020

Answer:

fixed cost per unit,

Explanation:

Fixed cost is cost that does not vary with output. It remains constant regardless of the units of output produced. An example of fixed cost is rent.

fixed cost per unit = fixed cost / output

Let us assume that rent (fixed cost) is $500. When output is 1 unit,  fixed cost per unit = $500 / 1 = $500

when output is 2 units,  fixed cost per unit = $500 / 2 = $250

when output is 10 units ,  fixed cost per unit = $500 / 10 = $50

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