The amount of the total fixed cost is $26,280.
Given,
Production level - 5,600 units
Total cost - $89,000
Variable cost - $11.20
Total fixed cost - ?
So in order to find the total fixed cost a formula is used,
Total fixed cost = Total costs - Total variable cost × Production units
= $89,000 - ($11.20 × 5,600)
= $26,280
Hence, the total fixed cost is $26,280.
Total fixed cost is the total amount of money a business must pay in order to keep their operations running regardless of how many products they make or sell. Fixed costs are those which exist even when production is at zero.
To learn more about Total fixed cost here:
https://brainly.com/question/16749519
#SPJ4
