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Compute the average variable cost per unit

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Question - At an activity level of 8,800 units, Pember Corporation's total variable cost is $146,520 and its total fixed cost is $219,296. For the activity level of 8,900 units, compute the following values.

Required -

1. Compute the total variable cost.

2. Compute the total cost.

3. Compute the average variable cost per unit.

4. Compute the average fixed cost per unit.

5. Compute the average total cost per unit.

Note: Assume that the activity level is within the relevant range.

Reference no: EM132736106

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