An organization planned to use $82.00 of direct materials per unit of output, but it actually used $80 per unit. During this period, the company planned to make 1,200 units, but produced only 1,000 units. The flexible budget amount for direct materials cost is:
A) $80,000.
B) $82,000.
C) $96,000.
D) $98,400.
E) $24,000.

Question

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The Answer of An organization planned to use $82.00 of direct materials per unit of output, but it actually used $80 per unit. During this period, the company planned to make 1,200 units, but produced only 1,000 units. The flexible budget amount for direct materials cost is:
A) $80,000.
B) $82,000.
C) $96,000.
D) $98,400.
E) $24,000.

An Organization Planned to Use $82