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Ch 11: Budgetary Control and Responsibility Accou... (8 of 20) C P Q11.8: Jensen Automotive produces alternators for American-made cars. They generally use a static
Ch 11: Budgetary Control and Responsibility Accou... (8 of 20) C P Q11.8: Jensen Automotive produces alternators for American-made cars. They generally use a static budget with the following costs based on 8,000 units per month: Indirect materials, $22,000; Indirect labour, $25,000; Utilities, $12,000; Supervision, $4,000; Depreciation, $18,000. If Jensen wanted to create a flexible budget for 9,000 units, what value would they record for variable costs? E $66,375 B $91,125 QL $81,000 $59,000
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