A firm expects to sell 25,000 units of its product at $11 per unit. Pretax income is predicted to be $60,000. If the variable costs per unit are $5, total fixed costs must be: Group of answer choices $125,000. $90,000. $215,000. $65,000. $275,000.

$90,000

Explanation:

The computation of the total fixed cost is shown below:

Sales $275,000    (25,000 units × $11 per unit)

Less: Variable cost $125,000   (25,000 units × $5 per unit)

Contribution margin $150,000

Less: Pre tax income $60,000

Total fixed cost $90,000

We simply find out the contribution margin and then subtract it from it so that the total fixed cost could come

the page presents four different kinds of threats that volcanoes pose and what to do before, during, and after an eruption.

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