Question: At zero direct labor hours in a flexible budget graph, the total budgeted cost line intersects the vertical axis at $48000. At 10000 direct labor
At zero direct labor hours in a flexible budget graph, the total budgeted cost line intersects the vertical axis at $48000. At 10000 direct labor hours, a horizontal line drawn from the total budgeted cost line intersects the vertical axis at $70000. Fixed and variable costs may be expressed as: $22000 fixed plus $4.80 per direct labor hour variable. $48000 fixed plus $7.00 per direct labor hour variable. $48000 fixed plus $2.20 per direct labor hour variable. $22000 fixed plus $2.20 per direct labor hour variable
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