Laurie Inc

question 184

Multiple Choice

Laurie Inc.'s static budget for 10,000 units of production includes $60,000 for direct materials, $44,000 for direct labor, fixed utilities costs of $5,000, and supervisor salaries of $25,000. A flexible budget for 12,000 units of production would show

• A)the same cost structure in total
• B)direct materials of $72,000, direct labor of $52,800, fixed utilities of $5,000, and supervisor salaries of $25,000
• C)total variable costs of $159,800
• D)direct materials of $60,000, direct labor of $52,800, fixed utilities of $6,000, and supervisor salaries of $25,000

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Definitions:

Local Auto Repair

A business that provides automotive repair services within a community, often focusing on a wide range of vehicle maintenance and repair tasks.

Expanding

The process of growing in size, scope, or scale, such as a business increasing its operations or market reach.

Ethical Decisions

Decisions made based on moral principles, considering what is right, fair, and just.

Clear-cut

Direct and unmistakable in presentation or articulation.