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Perez Company Had the Following Information Available:
Expected Costs and Selling

Question 2

Multiple Choice

Perez Company had the following information available:
Expected Costs and Selling Price Based on 5,000 Units:
Variable manufacturing costs per unit $32Fixed manufacturing costs per unit $20Selling price per unit $70\begin{array} { l } \text {Variable manufacturing costs per unit }&\$32 \\ \text {Fixed manufacturing costs per unit }&\$20 \\ \text {Selling price per unit }&\$ 70\\\end{array}

Expected production level 5,000 units \begin{array} { l } \text {Expected production level }&5,000 \text { units } \\\end{array}

In the flexible budget at 15,000 units,what is the total manufacturing cost?


A) $480,000
B) $580,000
C) $680,000
D) $780,000

Correct Answer:

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