EP FINANCIAL+MANAGERIAL ACCT. >CUSTOM<
5th Edition
ISBN: 9781323590287
Author: *ST.LEO UNIV.
Publisher: PEARSON C
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Textbook Question
Chapter 23, Problem 1QC
MajorNet Systems is a start-up company that makes connectors for high-speed Internet connections. The company has budgeted variable costs of $145 for each connector and fixed costs of $7,500 per month. MajorNet’s static budget predicted production and sales of 100 connectors in August, but the company actually produced and sold only 84 connectors at a total cost of $21,000.
MajorNet’s total flexible budget cost for 84 connectors per month is
- a. $14,500.
- b. $12,180.
- c. $19,680.
- d. $21,000.
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EP FINANCIAL+MANAGERIAL ACCT. >CUSTOM<
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