At a sales volume of 30,000 units, Carne Company's total fixed costs are $30,000 and total variable costs are $45,000. The relevant range is 20,000 to 40,000 units.If Carne Company were to sell 40,000 units, the total expected cost per unit would be:

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Answer:

$2.25

Explanation:

sale volume of company = 30,000 unit

total fixed cost are = $30,000

total variable cost $45,000 for 30,000 unit

1 unit = 45000/30000 =  $ 1 . 5

for the sale of 40,000 unit

the  total expected cost

    = Fixed cost + Variable cost

      = $30,000 + 40,000×$1.50

      = $30,000+$60,000

     = $90,000

Cost per unit:

 = $90,000/40,000

=  $2.25

The total expected cost per unit would be:$1.95 per units.

Total expected cost per unit

Variable costs=5,000/30,000

Variable costs = 1.50 per unit

Total variable costs=(22,000 x 1.50)+30,000

Total variable costs= 48,000+30,000

Total variable costs=78,000

Total expected cost per unit=78,000/40,000 units

Total expected cost per unit=$1.95 per units

Inconclusion the total expected cost per unit would be:$1.95 per units.

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