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Ava, Inc. uses a flexible budget. Ava produced 15,600 units in May incurring direct materials cost of $19,344. Its master budget for the year projected

Ava, Inc. uses a flexible budget. Ava produced 15,600 units in May incurring direct materials cost of $19,344. Its master budget for the year projected direct materials cost of $346,060, at a production volume of 286,000 units. A flexible budget for May should reflect direct materials cost of:

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$19,876.
$18,876.
$19,344.
$18,626.

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