Question

2. Calculate your total variable costs for the summer at each price. a. 35 lawns per weekx 12 weeks x $24.25 variable cost = b. 20 lawns per weekx 12 weeks x $24.25 variable cost = c. 5 lawns per weekx 12 weeks x $24.25 variable cost =​

Answer 1

Total variable costs are calculated by multiplying the number of units produced (lawns maintained) by the variable cost per unit and by the number of weeks. The total for 35, 20, and 5 lawns per week for 12 weeks at $24.25 per lawn is $10,185, $5,820, and $1,455 respectively.

Step-by-step explanation:

Calculating total variable costs is crucial for any business to understand the expenses that fluctuate with production levels. In the student's question, they are provided with the variable cost per unit (in this case, the cost to maintain a lawn) and the quantity of lawns maintained over a period of time. Here is the step-by-step calculation for each scenario:

• a. 35 lawns per week x 12 weeks x $24.25 = $10,185
• b. 20 lawns per week x 12 weeks x $24.25 = $5,820
• c. 5 lawns per week x 12 weeks x $24.25 = $1,455

Each of these calculations multiplies the number of lawns per week by the total weeks in the summer (12) and then by the variable cost per lawn to obtain the total variable costs for the summer at each level of output.