A company's flexible budget for 18,000 units of production showed sales, $90,000; variable costs, $45,000; and fixed costs, $21,000. The operating income expected if the company produces and sells 22,000 units is (Do not round intermediate calculations): a$8,333. b$24,000. C$34,000. d$29,333. e$60,000.

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter7: Budgeting
Section: Chapter Questions
Problem 11PA: Prepare a flexible budgeted income for 120,000 units using the following information from a static...
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A company's flexible budget for 18,000 units of production showed sales,
$90,000; variable costs, $45,000; and fixed costs, $21,000. The operating income
expected if the company produces and sells 22,000 units is (Do not round
intermediate calculations):
a$8,333.
b$24,000.
C$34,000.
d$29,333.
e$60,000.
Transcribed Image Text:A company's flexible budget for 18,000 units of production showed sales, $90,000; variable costs, $45,000; and fixed costs, $21,000. The operating income expected if the company produces and sells 22,000 units is (Do not round intermediate calculations): a$8,333. b$24,000. C$34,000. d$29,333. e$60,000.
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