Solved: Determine average variable cost per membership, Cost Accounting

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Determine average variable cost per membership

Response to the following problem:

Apping health club has the following cost equation: Total costs=$40,000+$80n, where n-number of memberships

Required:

a. Calculate spinnings average fixed cost per membership when there are 2,000 memberships.

b. What is the average variable cost per membership when there are 2,000 memberships?

c. Calculate the average cost per membership when there are 2,000 memberships?

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Cost Accounting: Determine average variable cost per membership

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Cost Accounting: Determine average variable cost per membership

Reference No:- TGS02079635

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