Respuesta :
Answer: $290,000
Explanation:
Flexible budget for 20,000 tons:
Fixed manufacturing costs (Period costs constant irrespective of tons produced) $50,000
Variable manufacturing costs
($12 × 20,000) $240,000
Total Manufacturing costs for 20,000 tons will be:
$50,000 + $240000 = $290,000
Note: Variable costs varies based on the number of units produced whereas Fixed costs are the period costs that are constant irrespective of units produced.
Answer:
Explanation:
Computation of the flexible budget for total manufacturing costs for March:
Flexible budget for total manufacturing costs for March = (Production of steel during March × Variable Manufacturing Costs per ton of steel) + Fixed Manufacturing Costs Per month.
Flexible budget for total manufacturing costs for March = ( 40,000 ton × $12 per ton ) + $50,000
Flexible budget for total manufacturing costs for March = $480,000 + $50,000
Flexible budget for total manufacturing costs for March = $530,000
Answer is $530,000
