Answer:
knowing restaurants probably Instagram
Explanation:
A
The price goes up because when something’s supply goes down, the price goes up assuming the demand hasn’t changed
Answer:
3.52
Explanation:
Calculation to determine the target cost per unit?
Using this formula
Target cost per unit=Projected sales -Desired profit /Projected units
Let plug in the formula
Target cost per unit=$300,000-$36,000/75,000 units
Target cost per unit=$264,000/75,000 units
Target cost per unit=3.52 per unit
Therefore the target cost per unit is 3.52
Answer:
b) The average cost must be rising.
Explanation:
Assuming that the entity produce 4 units and its total cost is $16 so average cost per unit is $4 and now the same entity has produced the 5th unit at $5 so the average cost now per unit is (16+5)/5=$4.2
So based on the above discussion, it can be concluded that average cost increase when the marginal cost of production is increased.
So the answer is b) The average cost must be rising.
