Answer the question using the information provided below:

Number of Custom Carburetors Produced

(1 ) Variable Cost Per Custom Carburetors

(2 ) Total Fixed Cost Per Custom Carburetor

(3 )
1 $50 $50
500 50
1000 50

The manager at the Carburetor Factory buys a custom carburetor at $50.00 each for each of its custom vehicles. Compute the total fixed cost per custom carburetor if 1, 500, and 1,000 custom carburetors are produced.
A) $25,000; $50,000
B) $30,000; $60,000
C) $35,000; $70,000
D) $40,000; $45,000
E) $45,000; $90,000

A
Explanation: A) Total cost changes in proportion to the changes of the number of units produced

Number of Custom Carburetors Produced

1. Variable Cost Per Custom Carburetors

2. Total Fixed Cost Per Custom Carburetor

3 . = 1 × 2
1 $50 $50
500 50 $25,000
1000 50 $50,000