Question:
1. Bender Corporation incurs the following annual fixed costs.
Item Cost
Depreciation ................. $ 34,000
Officers' salaries ............ 120,000
Long-term lease ............... 42,000
Property taxes ................... 9,000
Required
Determine the total fixed cost per unit of production, assuming that Bender produces 4,000, 4,500, or 5,000 units.