Select cost information for seacrest enterprises is as follows: 1,000 units of output 5,000 units of output total cost/unit total cost/unit direct materials $5,000 $5.00 $25,000 $5.00 utilities expense $1,000 $1.00 $3,750 $0.75 rent expense $4,000 $4.00 $4,000 $0.80 based on this information: select one: a. both direct materials and rent expense are variable costs. b. utilities expense is a mixed cost and rent expense is a variable cost. c. utilities expense is a mixed cost and rent expense is a fixed cost. d. direct materials is a fixed cost and utilities expense is a mixed cost. e. both direct materials and utilities expense are mixed costs.

Not sure but I think is B. again not sure

Explanation:

C) utilities expense is a mixed cost and rent expense is a fixed cost.

Explanation:

                         1,000 units of output           5,000 units of output

                         direct materials                    direct materials

                         $5,000     $5.00                   $25,000      $5.00

                        utilities expense                    utilities expense

                         $1,000       $1.00                    $3,750        $0.75

                         rent expense                          rent expense

                         $4,000       $4.00                  $4,000        $0.80

Utilities expense is a mixed expense since it has a fixed amount + a variable amount, that is why average utilities expenses cost per unit decreases only a little as the number of units produced increase. For 1,000 units the utilities expense = $1,000, while as the units increase, the utilities expense increases to $3,750, but the average cost per unit decreases from $1 to$0.75.

Rent expense is a fixed cost, since it is equal to $4,000 no matter how many units are produced.

typically a loft will include modern kitchen and bathrooms, this increases the price tag. lofts also have a good amount of open space, this requires more heating and electricity. lofts are also in older buildings, this means that maintaining the location increases the bill. keep in mind this is without talking about the high state and property taxes.

i hope this you! : )

answer; is usually (less than) the socially optimal level of consumption;