At an Activity Level of 8,400 Units in a Month,Braughton

question 34

Multiple Choice

At an activity level of 8,400 units in a month,Braughton Corporation's total variable maintenance and repair cost is $697,284 and its total fixed maintenance and repair cost is $464,100.What would be the total maintenance and repair cost,both fixed and variable,at an activity level of 8,500 units in a month? Assume that this level of activity is within the relevant range.

• A) $1,175,210
• B) $1,169,685
• C) $1,161,384
• D) $1,168,297

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Definitions:

Secured Transactions

involve agreements in which the borrower provides the lender a security interest in personal property as collateral for a loan.

Personal Property

Any property that is not real property, including movable objects, vehicles, furniture, and intellectual property.

Security Agreement

A legal document that provides a lender a security interest in a specific asset or property pledged as collateral for a loan.

Collateral

Assets pledged by a borrower to secure a loan or credit, which can be seized by the lender if the borrower defaults.