Answer the Following Questions Using the Information Below:
Buildz Manufacturing

question 54

Multiple Choice

Answer the following questions using the information below:
Buildz Manufacturing currently produces 1,000 tables per month. The following per unit data for 1,000 tables apply for sales to regular customers:
$\begin{array}{lr}\text { Direct materials } & \$ 50 \\\text { Direct manufacturing labor } & 10 \\\text { Variable manufacturing overhead } & 15 \\\text { Fixed manufacturing overhead } & \underline{30} \\{\text { Total manufacturing costs }} & \$ 105\end{array}$
-The plant has capacity for 3,000 tables and is considering expanding production to 3,000 tables.What is the total cost of producing 3,000 tables?

• A) $255,000
• B) $225,000
• C) $175,000
• D) $235,000

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