question archive A company's budgeted costs for 60,000 units are as follows: Fixed manufacturing costs$30,000Variable manufacturing costs$15
A company's budgeted costs for 60,000 units are as follows: Fixed manufacturing costs$30,000Variable manufacturing costs$15
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A company's budgeted costs for 60,000 units are as follows:
Fixed manufacturing costs$30,000Variable manufacturing costs$15.00 per unit
The company produced 50,000 units.
How much is the flexible budget total manufacturing cost?
$775,000
$750,000
$780,000
$930,000
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The correct answer to the question is $ 7,80,000
Calculation:
Fixed manufacturing cost - 30,000
Variable cost (50000*15) - 7,50,000
Total - 7,80,000
The budgeted cost is calculated for 50000 units because the actual cost could have been incurred at 50000 units only.
Step-by-step explanation
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