Botana Company Constructed the Following Formula for Monthly Utility Cost

question 30

Multiple Choice

Botana Company constructed the following formula for monthly utility cost. Total utility cost = $1,200 + ($8.10 × labor hours)
Assume that 775 labor hours are budgeted for the month of April.

Calculate the total variable utility cost for the month of April.

• A) $1,200.00
• B) $7,477.50
• C) $6,277.50
• D) $5,077.50

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Definitions:

Supply Chain Management

The management of the flow of goods and services, involving the movement and storage of raw materials, of work-in-process inventory, and of finished goods from point of origin to point of consumption.

Trade-Off in Logistics

The balancing act between different logistical aspects, like cost versus speed, to achieve optimal outcomes.

Transportation

The movement of people or goods from one location to another through various modes like trucks, trains, ships, or airplanes.

Warehousing

The practice of storing goods within a designated facility to ensure their preservation and safety before distribution to customers or retailers.