Burruss Company Developed a Static Budget at the Beginning of the Company's

question 28

Multiple Choice

Burruss Company developed a static budget at the beginning of the company's accounting period based on an expected volume of 8,000 units: If actual production totals 10,000 units which is within the relevant range, the flexible budget would show fixed costs of:

• A) $16,000.
• B) $2 per unit.
• C) $20,000.
• D) None of these answers is correct.