A firm has produced the following budget for an activity level of 5,000 units: Material RO 30,000 Labour RO 15,000 Fixed Expenses RO 5,000 What would be a total cost for a level of activity of 2,500 units? O A. 30000 O B. 27500 OC. 50000 O D. 22,500

Principles of Accounting Volume 2
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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 firm has produced the following budget for an activity level of 5,000 units: -
Material RO 30,000
Labour RO 15,000
Fixed Expenses RO 5,000
tion
What would be a total cost for a level of activity of 2,500 units?
O A. 30000
O B. 27500
OC. 50000
O D. 22,500
Transcribed Image Text:A firm has produced the following budget for an activity level of 5,000 units: - Material RO 30,000 Labour RO 15,000 Fixed Expenses RO 5,000 tion What would be a total cost for a level of activity of 2,500 units? O A. 30000 O B. 27500 OC. 50000 O D. 22,500
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