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Bramble Possible Inc. (BP) is a manufacturer of toaster ovens. To improve control over operations, the president of BP wants to begin using a flexible
Bramble Possible Inc. (BP) is a manufacturer of toaster ovens. To improve control over operations, the president of BP wants to begin using a flexible budgeting system, rather than using only the current master budget. The following data are available for BP's expected costs at production levels of 75,600, 84,000, and 92,400 units. Variable costs Manufacturing $7 per unit Administrative $5 per unit Selling $1 per unit Fixed costs Manufacturing $134,400 Administrative $67,200 Prepare a flexible budget for each of the possible production levels: 75,600, 84,000, and 92.400 units. (List variable costs before fixed costs.) BRAMBLE POSSIBLE INC. Flexible Production Cost Budget Activity Level Production Levels 75,600 84,000 92,400 Variable Costs Manufacturing $ 529,200 $ 588,000 $ 646,800 Administrative Manufacturing V $ 529,200 $ 588,000 $ 646,800 Administrative $ $ $ Save for Later Attempts: 0 of 1 used Submit Answer (b) If BP sells the toaster ovens for $16 each, how many units will it have to sell to make a profit of $50,400 before taxes? Units to be sold
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