Question

Total fixed costs for taylor incorporated are $240,000. total costs, including both fixed and variable, are $500,000 if $125,000 uits are produced. the variable cost per unit is

Answer 1

A variable cost is a corporate expenditure that fluctuates in proportion with manufacture output. Variable costs increase or decrease reliant on a company's manufacture volume; they rise as manufacture increases and fall as manufacture decreases.
Cost equation y = vx + f

$500,000 = 125,000x + 240,000

260,000 = 125,000x

$2.08 = x