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Answer this question based on the data in the following table. By default base of earnings, Interest expense was allocated to profit centers in the

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Answer this question based on the data in the following table. By default base of earnings, Interest expense was allocated to profit centers in the amounts of: $1,800,000 $1,080,000 $720,000 Earnings Cost of Construction Labor Material Total Direct Cost $500,000 $900,000 $1,400,000 $300,000 $450,000 $750,000 $200,000 $450,000 $650,000 Gross Profit S400,000 $330,000 $70,000 Variable Operating Expense Auto and Truck $60,000 Interest $10,000 Total Variable $70,000 Operating Expense Fixed Operating Expense Depreciation $20,000 Salaries $80,000 Total Fixed Expense $100,000 S170,000 Total Operating Expense Net Profit (before S230,000 tax) Tax (50%) $115,000 Net Profit (after tax) $115,000 O A $4,000 to New Work, $6,000 to Repairs B) $2,000 to New Work, $3,000 to Repairs C) $8,000 to New Work, $2,000 to Repairs D) $6,000 to New Work, $4,000 to Repairs

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