Ricwy Corporation Uses the Cost Formula Y = $4,800

question 144

Multiple Choice

Ricwy Corporation uses the cost formula Y = $4,800 + $0.40X for the maintenance cost, where X is machine-hours. The August budget is based on 9,000 hours of planned machine time. Maintenance cost expected to be incurred during August is:

• A)$4,800
• B)$3,600
• C)$8,400
• D)$1,200

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