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Venus Company Has Developed the Following Flexible Budget Formula for Annual

Question 39

Multiple Choice

Venus Company has developed the following flexible budget formula for annual indirect labor cost: ​
Total annual cost = $12,000 + $.25 per unit

Operating budgets for the current month are based on 6,000 units.Indirect labor costs included in this monthly planning budget are:


A) $13,500.
B) $12,000.
C) $1,500.
D) $2,500.

Correct Answer:

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