Digital Systems’ total flexible budget cost for 75 connectors per month is

a. $17,750

b. $9,750

c. $13,000

d. $8,130 Digital Systems is a start-up company that makes connectors for high-speed Internet connections. The com¬ pany has budgeted variable costs of $130 for each connector and fixed costs of $8,000 per month.
Digital’s static budget predicted production and sales of 100 connectors in January, but the company actually produced and sold only 75 connectors at a total cost of $23,000.