Aaron Corporation, Which Has Only One Product, Has Provided the Following

question 138

Multiple Choice

Aaron Corporation, which has only one product, has provided the following data concerning its most recent month of operations:

-What is the total period cost for the month under variable costing?

• A) $54,400
• B) $69,400
• C) $57,400
• D) $15,000

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Definitions:

Customers Served

The number of individual clients or customer accounts that receive goods or services from a business over a specific period.

Flexible Budget

An adaptive financial plan that changes in accordance with variations in volume or activity rates.

Variable Cost Estimates

Projections of costs that change in relation to the level of production or sales volume.

Facility Expenses

Costs associated with the physical maintenance and operation of a business's buildings and equipment.