Question: Because C Company has an operating environment with considerable uncertainty, it prepares flexible budgets for several different volume levels. The per unit budgeted variable costs
Because C Company has an operating environment with considerable uncertainty, it prepares flexible budgets for several different volume levels. The per unit budgeted variable costs for direct materials, direct labor, supplies, indirect labor, and power are $7, $10, $1, $.50 and $.05 respectively. The budgeted fixed overhead for the period is Supervision of $4,000 and Depreciation of $3,000 and Rent of $2,000. What is the difference in total flexible budget costs between the volume range of 4,000 units and 5,000 units?
Group of answer choices
A) $0
B) $9,275
C) $1,000
D) $17,000
E) $18,550
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