Managerial Accounting (15th Edition)

Published by McGraw-Hill Education
ISBN 10: 007802563X
ISBN 13: 978-0-07802-563-1

Chapter 2 - Managerial Accounting and Cost Concepts - The Foundational 15 - Required - Page 53: 7

Answer

$\$$5

Work Step by Step

When it produces and sells 10,000 units, the fixed manufacturing is $\$$4. If 8,000 units are produced, the average fixed manufacturing cost per unit is $\frac{10,000 \times $4}{8000}$ = $\$$5
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