At an Activity Level of 9,000 Machine-Hours in a Month

question 261

Multiple Choice

At an activity level of 9,000 machine-hours in a month, Moffatt Corporation's total variable maintenance cost is $390,240 and its total fixed maintenance cost is $368,280.What would be the total variable maintenance cost at an activity level of 9,300 machine-hours in a month? Assume that this level of activity is within the relevant range. (Round intermediate calculations to 2 decimal places.)

• A) $758,520
• B) $403,248
• C) $390,240
• D) $380,556

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Definitions:

Slack Adjusters

Mechanical devices in air brake systems that maintain the correct distance between the brake shoes and the drum as the shoes wear.

Secondary Circuit

In brake systems refers to the following circuit in the system usually actuated by the primary circuit. In hydraulic brake systems on straight trucks, this is usually the rear brake circuit, whereas on large trucks with air brakes, it refers to the brakes on the steering axle wheels.

Relay Valve

A component in pneumatic systems that speeds up the build-up and release of air pressure in brake systems, ensuring faster response times.

Tractor Drive Axle Brakes

These are the braking systems specifically designed for the drive axles of a tractor, playing a critical role in the overall braking performance and safety of the vehicle.