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Adam's chairs is in the process of preparing a production cost budget for August. Sctual costs in July for 120 chairs were: Material costs $4,750
Adam's chairs is in the process of preparing a production cost budget for August. Sctual costs in July for 120 chairs were:
Material costs $4,750
Labor costs 2,740
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 130 chairs in August, how much is the expected total variable cost on the August budget?
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