ErkkilaIncorporated Reports That at an Activity Level of 2,100 Machine-Hours

question 120

Multiple Choice

ErkkilaIncorporated reports that at an activity level of 2,100 machine-hours in a month, its total variable inspection cost is $69,846 and its total fixed inspection cost is $9,072.What would be the total variable inspection cost at an activity level of 2,400 machine-hours in a month? Assume that this level of activity is within the relevant range. (Round intermediate calculations to 2 decimal places.)

• A) $78,918
• B) $69,846
• C) $79,824
• D) $10,368

---

Definitions:

Individual Beliefs

The personal convictions or acceptances that something is true or exists, which often guide behavior and decision-making.

Career Aspirations

Career aspirations are the long-term career goals or benchmarks that individuals aim to achieve in their professional lives.

Gain Sharing

Rewards employees in some proportion to productivity gains.

Pay-For-Performance

A compensation scheme where employees' pay is based on their performance, often measured through specific metrics or outcomes.