Sweet Baby Diaper Company sells disposable diapers for $.20 each. Variable costs are $.05 per diaper, while fixed costs are $75,000 per month. At a volume of 700,000 diapers per month, what operating income would be shown in the flexible budget?
A) $7,500
B) $45,000
C) $30,000
D) $15,000
Correct Answer:
Verified
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