Tricia_Ng
Nov 23, 2010, 10:51 PM
do you know how to solve this question?
An organisation has the following total costs at two activity levels:
Activity level (units) 15,000 24,000
Total costs $380,000 $470,000
Variable cost per unit is constant in this activity range but there is a step up of $18,000 in the total costs when the activity exceeds 20,000 units.
What are the total costs at an activity level of 18,000 units?
An organisation has the following total costs at two activity levels:
Activity level (units) 15,000 24,000
Total costs $380,000 $470,000
Variable cost per unit is constant in this activity range but there is a step up of $18,000 in the total costs when the activity exceeds 20,000 units.
What are the total costs at an activity level of 18,000 units?