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Aaron's chairs is in the process of preparing a production cost budget for August. Actual costs in July for 120 chairs were: material costs $4,840

Aaron's chairs is in the process of preparing a production cost budget for August. Actual costs in July for 120 chairs were: material costs $4,840 labor cost $2,800 rent $1,500 depreciation $2,500 other fixed costs $3,200 materials and labor are the only variable costs. If production and sales are budgeted to change to 120 chairs in August, how much is the expected total variable cost on the August budget?

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