Gradert Framing's cost formula for its supplies cost is $1,540 per month plus $12 per frame.For the month of September,the company planned for activity of 668 frames,but the actual level of activity was 666 frames.The actual supplies cost for the month was $9,980.The supplies cost in the planning budget for September would be closest to:
A)$10,010
B)$9,532
C)$9,556
D)$9,980

Question

Quizplus · Accepted Answer

Cost = Fixed cost + Variable cost per unit F1F1F1S1F1F1F10 q
= $1,540 + $12 F1F1F1S1F1F1F10 668 = $9,556

Gradert Framing's Cost Formula for Its Supplies Cost Is $1,540